A Hundred Thousand Customers, and Half Outside the Top FiftyWide moat
Texas Instruments (TXN) — moat facet
Half the revenue comes from customers outside the largest fifty — which is what eighty thousand parts and a website buy.
Over a hundred thousand customers, and about half the revenue comes from outside the largest fifty.
That is TI's entire concentration disclosure, and there is no table beneath it because no customer reaches 10%.1 The comparison across this collection makes the point better than any adjective: Qualcomm names Apple, Samsung and Xiaomi each above 10%; Nvidia discloses direct customers at 22% and 14%; Marvell's largest single relationship is a distributor at 37% of revenue; CoreWeave takes 67% from Microsoft; VeriSign's largest registrar is 31%.3
TI has none of that, and the reason is architectural rather than lucky. A catalogue of more than 80,000 products and a direct channel covering more than 80% of revenue make a very long tail servable, and a long tail is by definition unconcentrated.
The commercial consequence is the ability to price. TI began customer-by-customer increases from the third quarter of 2026, concentrated in Analog, without any single negotiation being consequential.2
The consequence for risk is that TI's largest exposures are not customers at all: they are the analog cycle and, currently, a Chinese trade investigation.
The metric is revenue concentration, and TI's is the lowest in this collection.
The number of customers and the share from outside the top fifty are both structural outputs of the catalogue and the direct channel. Neither has moved materially.
About half of revenue comes from outside the largest fifty customers, many served directly through TI.com. A broad base converting into cash this quickly shows the model working as demand recovers.
Source: Texas Instruments Form 10-Q, Q2 2026 ↗- ReportedThat is TI's entire concentration disclosure, and there is no table beneath it because no customer reaches 10%.Texas Instruments Incorporated, Form 10-K for the year ended 31 December 2025 (SEC, CIK 97476) — Item 1, Business. TI's two reportable segments are Analog and Embedded Processing, with remaining activities in Other; operations began in 1930 and it has design, manufacturing or sales operations in more than 30 countries. The product portfolio includes more than 80,000 products. TI states four sustainable competitive advantages: a strong foundation of manufacturing and technology, a broad portfolio of analog and embedded processing products, the reach of its market channels, and the diversity and longevity of its products, markets and customer positions, which in combination it describes as difficult to replicate. An unpackaged chip built on a 300mm wafer costs about 40% less than one built on a 200mm wafer; TI continued qualifying and ramping production at its newest 300mm fabs in Richardson and Sherman, Texas, and Lehi, Utah, supporting external foundry transfers and internal transfers from its legacy 150mm facilities, and expects to maintain sufficient internal capacity to meet the majority of its production needs, offering customers geopolitically dependable capacity. TI sells to over 100,000 customers, with about half of revenue derived from customers outside its largest 50; more than 80% of revenue was direct in 2025, including TI.com. End markets as a percentage of 2025 revenue: industrial 33%, automotive 33%, personal electronics 21%, data centre 9%, communications equipment 3%, and calculators about 1%. About 60% of revenue comes from customers headquartered outside the United States; revenue from end customers headquartered in China represented about 20% of revenue in 2025, while revenue from products shipped into China represented about 50%. The analog and embedded processing markets remain highly fragmented, with significant global competition from dozens of large and small companies including emerging companies, particularly in Asia. The company's stated objective is the growth of free cash flow per share over the long term. — FY2025 · publ. 2026-02-06 · source ↗
- ReportedTI began customer-by-customer increases from the third quarter of 2026, concentrated in Analog, without any single negotiation being consequential.Coverage of Texas Instruments' second-quarter 2026 results, July 2026 — revenue of $5.46 billion, up 23% year over year and 13% sequentially against consensus near $5.24 billion; net income of $1.98 billion, up 53%, and EPS of $2.14, up 52% and above the high end of guidance. By segment, Analog revenue was $4.37 billion (up 26%), Embedded Processing $788 million (up 16%) and Other $310 million (down 2%). Industrial revenue grew more than 30% year over year across all sectors and regions, automotive re-accelerated, and data centre revenue roughly doubled. Management guided third-quarter revenue to $5.65-6.15 billion and confirmed 2026 capital expenditure of $2-3 billion, declining to bias the range toward the lower end. After holding pricing flat through the first half, TI began executing customer-by-customer price increases from the third quarter, extending into the fourth quarter and into 2027, concentrated in Analog. Management has framed free cash flow per share of $8 or more as probable for 2026, having earlier suggested $12. The shares fell after hours. — Q2 2026 · publ. 2026-07-24 · source ↗
- ReportedMarvell's largest single revenue relationship is a distributor at 37% of net revenue, and Nvidia's two largest direct customers are 22% and 14%.Marvell Form 10-K, FY2026 — customer concentration: ten largest customers 82% of total net revenue; two customers above 10% (Direct Customer A 14%, up from 13%; Distributor A 37%, up from 34% and 24%); accounts receivable concentrated with four customers at 73% of gross receivables (72% prior year); net revenue by customer type direct $4,630.4M (57%) and distributors $3,564.2M (43%) — FY2026 (ended January 31, 2026) · publ. March 11, 2026 · source ↗