Netgear 2013 Annual Report Download - page 4

Table of Contents
PART I
This Annual Report on Form 10-K (“Form 10-K”), including Management’
s Discussion and Analysis of Financial Condition and Results of
Operations in Part II, Item 7 below, includes forward-
looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”).
All statements other than statements of historical facts
contained in this Form 10-
K, including statements regarding our future financial position, business strategy and plans and objectives of management for
future operations, are forward-looking statements. The words “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,”
“expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-
looking
statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition,
results of operations, business strategy and financial needs. These forward-
looking statements are subject to a number of risks, uncertainties and
assumptions described in “Risk Factors” in Part I, Item 1A below, and elsewhere in this Form 10-
K, including, among other things: the future growth of
the commercial business, retail, and broadband service provider markets; speed of adoption of wireless networking worldwide; our business strategies
and development plans; our successful introduction of new products and technologies; future operating expenses and financing requirements; and
competition and competitive factors in the commercial business, retail, and broadband service provider markets. In light of these risks, uncertainties and
assumptions, the forward-looking events and circumstances discussed in this Form 10-
K may not occur and actual results could differ materially from
those anticipated or implied in the forward-looking statements. All forward-looking statements in this Form 10-
K are based on information available to
us as of the date hereof and we assume no obligation to update any such forward-
looking statements. The following discussion should be read in
conjunction with our consolidated financial statements and the accompanying notes contained in this Form 10-K.
Item 1. Business
General
We are a global networking company that delivers innovative products to consumers, businesses and service providers. Our business is managed in
three specific business units: retail, commercial, and service provider. The retail business unit consists of high performance, dependable and easy-to-
use
home networking, home video monitoring, storage and digital media products. The commercial business unit consists of business networking, storage
and security solutions that bring enterprise class functionality down to small and medium size businesses at an affordable price. The service provider
business unit consists of made-to-
order and retail proven, whole home networking hardware and software solutions as well as 4G LTE hotspots sold to
service providers for sale to their subscribers. We are organized into the following three geographic territories: Americas, Europe, Middle-
East and
Africa ("EMEA") and Asia Pacific ("APAC"). For further detail, refer to Note 12,
Segment Information, Operations by Geographic Area and Customer
Concentration , in Notes to Consolidated Financial Statements in Item 8 of Part II of this Annual Report on Form 10-K.
We were incorporated in Delaware on January 8, 1996. Our principal executive offices are located at 350 East Plumeria Drive, San Jose, California
95134, and our telephone number at that location is [phone]. Our website address is www.netgear.com.
In the years ended December 31, 2013 , 2012 , and 2011 , we generated net revenue of $1.37 billion , $1.27 billion , and $1.18 billion
,
respectively.
Markets
Our mission is to be the innovative leader in connecting the world to the Internet. This includes our goal of being the leading provider of
innovative networking products to the consumer, business, and service provider markets. A number of factors are driving today's demand for networking
products within these markets. As the number of computing devices, such as smart phones, laptops and tablets, has increased in recent years, networks -
especially WiFi networks -
are being deployed more broadly in order to share information and resources among users and devices. This information and
resource sharing occurs internally, through a local area network, or externally, via the Internet. To take advantage of complex applications, advanced
communication capabilities and rich multimedia content, users are upgrading their Internet connections by deploying high-
speed broadband access
technologies. Users also seek the convenience and flexibility of operating their laptops, smart phones, tablets and related computing devices while
accessing their content in a more mobile, or wireless, manner. In addition, market demand for Smart TV products has increased significantly, where
users seek to connect their televisions to the Internet and for streaming entertainment. As the usage of networks, including the Internet, has increased,
users have become much more focused on the security of their connections and the protection of the data within their networks. And finally, the
connected home is becoming a reality with smart devices such as home video monitoring cameras that let users watch over their home from their smart
phone.
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