Segment Information

12 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

SEGMENT INFORMATION AND CONCENTRATIONS

SEGMENT INFORMATION AND CONCENTRATIONS

The Company considers itself to be a single reportable operating segment which designs, develops, manufactures and markets similar proprietary semiconductor products, including intellectual property. In reaching this conclusion, management considers the definition of the chief operating decision maker (“CODM”), how the business is defined by the CODM, the nature of the information provided to the CODM and how that information is used to make operating decisions, allocate resources and assess performance. The Company’s CODM is the president and chief executive officer. The results of operations provided to and analyzed by the CODM are at the consolidated level and accordingly, key resource decisions and assessment of performance is performed at the consolidated level. The Company assesses its determination of operating segments at least annually.

GEOGRAPHIC INFORMATION

Net revenue by geographic area presented based upon the country of destination are as follows (in millions):

	Fiscal Years Ended
	September 30, 2016		October 2, 2015		October 3, 2014
United States	$	63.3	$	66.8	$	47.5
Other Americas	28.8		33.0		25.5
Total Americas	92.1		99.8		73.0
China	2,324.6		2,249.2		1,574.4
Taiwan	474.2		506.9		322.2
South Korea	94.8		100.0		107.4
Other Asia-Pacific	252.2		249.7		166.9
Total Asia-Pacific	3,145.8		3,105.8		2,170.9
Europe, Middle East and Africa	51.1		52.8		47.6
Total	$	3,289.0	$	3,258.4	$	2,291.5

The Company’s revenues by geography do not necessarily correlate to end market demand by region. For example, the Company’s revenues reflected in the China line item above include sales of products to a company that is not headquartered in China but that manufactures its products in China for sale to consumers throughout the world, including in the United States, Europe, China, and other markets in Asia. The Company’s revenue to external customers is generated principally from the sale of semiconductor products that facilitate various wireless communication applications. Accordingly, the Company considers its product offerings to be similar in nature and therefore not segregated for reporting purposes.

Net property, plant and equipment balances, based on the physical locations within the indicated geographic areas are as follows (in millions):

	As of
	September 30, 2016		October 2, 2015		October 3, 2014
Mexico	$	355.9	$	406.1	$	290.1
Singapore	180.1		89.9		60.8
United States	140.5		148.8		138.7
Japan	121.6		173.8		58.8
Rest of world	8.2		7.8		7.5
	$	806.3	$	826.4	$	555.9

CONCENTRATIONS

Financial instruments that potentially subject the Company to concentration of credit risk consist principally of trade accounts receivable. Trade accounts receivable are primarily derived from sales to manufacturers of communications and consumer products and electronic component distributors. Ongoing credit evaluations of customers’ financial condition are performed and collateral, such as letters of credit and bank guarantees, are required whenever deemed necessary.

In fiscal 2016 and fiscal 2014, Foxconn Technology Group (together with its affiliates and other suppliers to a large OEM for use in multiple applications including smartphones, tablets, routers, desktop and notebook computers, “Foxconn”) and Samsung—each constituted more than ten percent of the Company’s net revenue. In fiscal 2015, Foxconn constituted more than ten percent of the Company’s net revenue.

The Company’s greater than ten percent customers comprised the following percentages of net revenue:

	Fiscal Years Ended
	September 30, 2016	October 2, 2015	October 3, 2014
Company A	40%	44%	34%
Company B	10%	*	10%
* Customer did not represent greater than ten percent of net revenue

At September 30, 2016, the Company’s three largest accounts receivable balances comprised 54% of aggregate gross accounts receivable. This concentration was 62% and 58% at October 2, 2015, and October 3, 2014, respectively.