AUG. 15, 2007 • The Wii is proving to be a boon to the motion-sensing component segment. Japanese newspaper Nikkei reports that Mitsumi Electric, which supplies Wi-Fi components and power chips to Nintendo Co. Ltd for use in the Wii, has experienced a five-fold increase in operating profit. In Italy, STMicroelectronics, which produces sensors for the Nunchuk controller, is adding a new production line near Milan. While in the Unites States, Analog Devices has dedicated one of its plants to Wiimote sensor production.

Impact: Motion-sensing technology has been around for years. With the Wii, the technology has a proven killer consumer application. Riding the coattails of the Wii is probably just the tip of the iceberg.