Keysight Technologies, Inc. (KEYS): History, Ownership, Mission, How It Works & Makes Money

Ever wondered how the technology that connects and secures our world is designed and tested? Keysight Technologies, Inc. (KEYS), a leading technology company, provides solutions that help enterprises, service providers, and governments accelerate innovation. But how did this company, with a $4.98 billion in revenue for fiscal year 2024, get its start, and what's the story behind its success? Keep reading to uncover the history, ownership, mission, and revenue streams of this S&P 500 company.

Keysight Technologies, Inc. (KEYS) History

Keysight Technologies Founding Timeline

Year established

Keysight Technologies was officially established in 1939 as part of Hewlett-Packard (HP).

Original location

The company's roots trace back to Palo Alto, California, where HP was founded. As a spin-off, retained a strong presence in California's Silicon Valley.

Founding team members

While not founded in the traditional sense with a new team, Keysight emerged from the test and measurement division of Hewlett-Packard. Key figures instrumental in the early development of technologies that would later become central to Keysight include:

• Bill Hewlett
• Dave Packard

Upon its separation from HP (later Agilent Technologies), was led by its own executive team, ensuring a focused direction for the new company.

Initial capital/funding

As a spin-off from Agilent Technologies, did not require traditional initial capital funding. Instead, it inherited assets, technology, and resources from Agilent's test and measurement business. In 2014, when Keysight was established as an independent company, it had a valuation of approximately $6.6 billion.

Keysight Technologies Evolution Milestones

Keysight Technologies Transformative Moments

• The Spin-Off from Agilent Technologies: The decision to separate from Agilent in 2014 was a pivotal moment, allowing to focus specifically on the test and measurement market. This independence enabled the company to pursue its own strategic vision and investments, leading to more targeted innovation.
• Strategic Acquisitions: Acquisitions like Ixia in 2017 significantly broadened 's portfolio and market reach. By integrating Ixia's network testing expertise, strengthened its position in the communications and IT sectors.
• Focus on Software and Solutions: The launch of the PathWave software platform marked a shift towards providing comprehensive solutions that address the entire product lifecycle. This move enhanced 's value proposition, offering customers more than just hardware.

To gain more insights into the values that drive , explore the Mission Statement, Vision, & Core Values of Keysight Technologies, Inc. (KEYS).

Keysight Technologies, Inc. (KEYS) Ownership Structure

Keysight Technologies, Inc. operates as a public company, meaning its ownership is distributed among shareholders, including institutional investors, individual investors, and company insiders.

Keysight Technologies, Inc.'s Current Status

Keysight Technologies, Inc. is a publicly traded company, listed on the New York Stock Exchange (NYSE) under the ticker symbol KEYS. As a public entity, it is subject to regulatory oversight and reporting requirements, including the filing of quarterly and annual financial reports.

Keysight Technologies, Inc.'s Ownership Breakdown

The ownership of Keysight Technologies is distributed among various shareholders. The percentages can fluctuate due to ongoing stock trading. Below is an overview of the ownership breakdown based on the latest available data:

Keysight Technologies, Inc.'s Leadership

Keysight Technologies is guided by a team of experienced leaders who oversee the company's strategic direction and operations:

• Satish Dhanasekaran: President and Chief Executive Officer
• Neil Dougherty: Senior Vice President and Chief Financial Officer
• John Page: President, Electronic Industrial Solutions Group

These individuals, along with other key executives, play a crucial role in driving Keysight's innovation, market expansion, and financial performance. You can explore more about the company's Mission Statement, Vision, & Core Values of Keysight Technologies, Inc. (KEYS).

Keysight Technologies, Inc. (KEYS) Mission and Values

Keysight Technologies aims to accelerate innovation to connect and secure the world, reflecting its commitment to technological advancement and global connectivity. The company's core values emphasize customer dedication, integrity, respect, teamwork, trust, speed, focus, and innovation.

Keysight Technologies' Core Purpose

Official mission statement

Keysight Technologies' mission statement is: 'Accelerating innovation to connect and secure the world.' This encapsulates the company's focus on:

• Innovation: Driving forward the boundaries of technology.
• Connectivity: Enabling seamless communication and interaction.
• Security: Ensuring the protection of data and systems.

Vision statement

Keysight Technologies' vision is to be the world’s leading technology company enabling a safe, secure, and connected future. This vision is supported by several key strategies:

• Technological Leadership: Striving to be at the forefront of technological advancements.
• Enabling a Secure Future: Focusing on solutions that enhance security in a connected world.
• Global Impact: Aiming to make a significant contribution worldwide through its technologies.

Company slogan/tagline

Keysight Technologies' tagline, 'Accelerating Innovation,' reinforces the company's dedication to pushing the boundaries of technology and driving progress across various industries. This is reflected in their approach to:

• Driving Innovation: Actively promoting and facilitating new ideas and technologies.
• Industry Impact: Providing tools and solutions that enable advancements in multiple sectors.
• Future Focus: Committing to long-term technological development and progress.

For more in-depth information, you can explore: Mission Statement, Vision, & Core Values of Keysight Technologies, Inc. (KEYS).

Keysight Technologies, Inc. (KEYS) How It Works

Keysight Technologies operates by providing electronic design and test solutions that help companies innovate across the communications, industrial automation, aerospace, and defense industries.

Keysight Technologies' Product/Service Portfolio

Keysight Technologies' Operational Framework

Keysight Technologies drives value creation through several key operational processes:

• Research and Development: Keysight invests heavily in R&D to develop cutting-edge technologies and solutions. This includes advancements in measurement science, software development, and hardware design.
• Manufacturing and Supply Chain: The company operates a global supply chain to manufacture and distribute its products. They focus on quality control and efficient logistics to ensure timely delivery to customers.
• Sales and Marketing: Keysight employs a direct sales force and channel partners to reach customers worldwide. Their marketing efforts focus on demonstrating the value of their solutions and building brand awareness.
• Customer Support: Keysight provides extensive customer support, including training, calibration, and repair services. This helps customers maximize the value of their investments and ensures long-term satisfaction.

Keysight Technologies' Strategic Advantages

Keysight Technologies maintains its competitive edge through:

• Technological Leadership: Keysight is known for its advanced measurement and testing capabilities, often setting industry standards.
• Broad Product Portfolio: The company offers a comprehensive range of products and services, allowing it to serve a wide variety of customer needs.
• Strong Customer Relationships: Keysight focuses on building long-term relationships with its customers, providing tailored solutions and support.
• Global Presence: With operations in numerous countries, Keysight can effectively serve global customers and adapt to local market conditions.

To delve deeper into the company's guiding principles, explore the Mission Statement, Vision, & Core Values of Keysight Technologies, Inc. (KEYS).

Keysight Technologies, Inc. (KEYS) How It Makes Money

Keysight Technologies, Inc. generates revenue by providing electronic design and test solutions to a wide array of industries, enabling innovation in communications, aerospace, automotive, and more.

Keysight Technologies, Inc.'s Revenue Breakdown

Keysight Technologies, Inc. operates through two primary segments:

Keysight Technologies, Inc.'s Business Economics

Keysight's business economics are shaped by several key factors:

• Pricing Strategy: Keysight employs a premium pricing model, reflecting the high value and precision of its products. This strategy supports strong gross margins.
• Economic Moats: The company benefits from strong economic moats, including high switching costs for its customers and a robust patent portfolio that protects its technological innovations.
• Market Dynamics: The demand for Keysight’s products is closely tied to advancements in technology and infrastructure, particularly in 5G, electric vehicles, and aerospace and defense. These industries drive consistent demand for Keysight's testing and measurement solutions.

Keysight Technologies, Inc.'s Financial Performance

Keysight's financial performance can be highlighted by the following:

• In fiscal year 2024, Keysight reported revenue of $5.45 billion.
• The company's gross margin stands strong at approximately 56.8%, indicative of its pricing power and efficient cost management.
• Keysight's operating margin is around 23.4%, reflecting effective operational execution and profitability.
• R&D expenses account for about 15% of revenue, underscoring its commitment to innovation.
• Keysight's net income for fiscal year 2024 was $975 million, demonstrating solid profitability.

To gain more insights into Keysight Technologies, Inc.'s financial standing, consider reading: Breaking Down Keysight Technologies, Inc. (KEYS) Financial Health: Key Insights for Investors

Keysight Technologies, Inc. (KEYS) Market Position & Future Outlook

Keysight Technologies holds a strong position in the electronic test and measurement market, driven by its focus on innovation and solutions for rapidly evolving technologies. The company's future outlook appears positive, underpinned by increasing demand for its solutions in key sectors such as 5G, automotive, and aerospace and defense.

Competitive Landscape

Opportunities & Challenges

Industry Position

Keysight Technologies maintains a leading position in the electronic test and measurement industry through:

• Technological Innovation: Consistently investing in research and development to stay ahead of industry trends.
• Comprehensive Solutions: Offering a wide range of products and services that cater to diverse customer needs.
• Strategic Partnerships: Collaborating with industry leaders to develop and deploy cutting-edge technologies.

To delve deeper into Keysight's financial performance, consider reading: Breaking Down Keysight Technologies, Inc. (KEYS) Financial Health: Key Insights for Investors