Data I/O Announces Largest Adapter Order in Company History

Rhea-AI Summary

Data I/O Corporation (NASDAQ: DAIO) has secured its largest adapter order in company history, valued at nearly $1 million. The order comes from the European division of a major electronics distributor and is set for fulfillment by September 2025.

The milestone order represents a strategic win in the company's distribution channel market expansion efforts. These adapters will support Data I/O's automated programming systems, particularly the PSV family, by serving as physical interfaces for programming various semiconductor devices including:

• Microcontrollers
• Flash memory
• Programmable logic devices

The company continues to expand its algorithm library to support customer adapter requirements, enabling increased chip density, faster production cycles, improved programming yields, and better time-to-market advantages.

Positive

• Secured largest adapter order in company history worth nearly $1 million
• Order from major European electronics distributor indicates market expansion
• Successfully penetrating distribution channel market, a targeted growth area
• Order signals potential increase in recurring revenue streams
• Demonstrates strong market adoption of company's automated programming systems

Negative

• None.

Insights

Financial Analyst

Data I/O's record $1M adapter order signals market expansion, revenue diversification, and potential for recurring revenue streams.

Data I/O's announcement of a nearly $1 million adapter order represents a significant milestone for the company. As explicitly highlighted, this is the largest adapter order in the company's 50+ year history, indicating a meaningful scale relative to their typical business operations.

The strategic value extends beyond the immediate revenue impact. This order comes from a European electronics distributor, marking successful expansion into the distribution channel - an area specifically identified by the company as a target for customer growth and revenue diversification. This diversification reduces client concentration risk while potentially extending market reach.

Perhaps most valuable from a financial perspective is the foundation for recurring revenue. As stated in the announcement, this adapter deployment establishes a pathway to "future increases in re-occurring revenue streams." The adapter-algorithm ecosystem creates technical continuity that can generate follow-on business as customers continue programming new semiconductor devices.

The fulfillment timeline (by September 2025) provides clarity on when to expect revenue recognition from this order. While a single order doesn't transform the company's entire financial profile, the size, strategic alignment with stated objectives, and potential for additional business make this development unambiguously positive for Data I/O.

Technology Sector Specialist

Record adapter order validates Data I/O's technology platform, expands distribution channels, and strengthens position in semiconductor programming equipment market.

This nearly $1 million adapter order provides significant validation for Data I/O's technology ecosystem within the semiconductor programming equipment market. Adapters serve a critical technical function as the physical interface between the company's automated programming systems (specifically the PSV family mentioned in the release) and an expanding universe of semiconductor devices including microcontrollers, flash memory, and programmable logic.

The announcement highlights Data I/O's continued expansion of its algorithm library, demonstrating the company's technical commitment to supporting higher chip densities, faster production cycles, and improved programming yields. This capability to handle increasingly sophisticated semiconductor devices directly addresses the technical challenges faced by electronics manufacturers in today's complex supply chains.

Particularly notable is that this order originates from a distribution channel rather than a direct OEM relationship. Distribution channel adoption typically signals broader market acceptance and potential standardization, as distributors only commit significant capital to programming technologies with proven market demand across multiple customers.

The technical integration between Data I/O's systems and semiconductor devices creates a form of ecosystem lock-in. Once manufacturers standardize on a programming platform with specific adapters, switching costs increase due to workflow integration, training investments, and technical continuity. This order therefore represents not just immediate revenue but solidifies Data I/O's technical position in the semiconductor programming equipment market.

Redmond, Washington--(Newsfile Corp. - April 29, 2025) - Data I/O Corporation (NASDAQ: DAIO), the leading global provider of advanced security and data deployment solutions for microcontrollers, security ICs and memory devices, announced that it has received the largest adapter order in Company history valued at nearly $1 million. The order was placed by the European division of one of the world's most prominent electronics distributors and is expected to be fulfilled by the end of September 2025.

"We are very excited to announce a major milestone in securing the largest single adapter order in the Company's history of more than 50 years," said Monty Reagan, Vice President, Sales & Marketing of Data I/O Corporation. "Equally important is that the order comes from the distribution channel market which has been one of our targeted areas for customer expansion and revenue diversification. This order demonstrates the commitment to our platform and system utilization leading to future increases in re-occurring revenue streams."

The Company's adapters will be used to support its premier automated programming systems known globally for speed, flexibility and fast changeover to handle any job at the lowest total cost of ownership. The adapters serve as a physical interface between the Company's automated programming systems, such as the market leading PSV family, and a growing array of semiconductor devices, including microcontrollers, flash memory, and programmable logic devices. The Company continues to expand its library of algorithms to support customer adapter requirements enabling increased chip density, faster production cycles, improved programming yields and time-to-market advantages.

About Data I/O Corporation
Since 1972, Data I/O has developed innovative solutions to enable the design and manufacture of electronic products for automotive, Internet-of-Things, medical, wireless, consumer electronics, industrial controls and other electronics devices. Today, our customers use Data I/O's data provisioning solutions to manage device intellectual property from point of inception to deployment in the field. OEMs of any size can program and securely provision devices from early samples all the way to high volume production prior to shipping semiconductor devices to a manufacturing line. Data I/O enables customers to reliably, securely, and cost-effectively bring innovative new products to life. These solutions are backed by a portfolio of patents and a global network of Data I/O support and service professionals, ensuring success for our customers. Learn more at dataio.com/Company/Patents.

Learn more at dataio.com.

Forward-Looking Statement
Statements in this news release concerning economic outlook, expected revenue, expected margins, expected savings, expected results, expected expenses, orders, deliveries, backlog and financial positions, semiconductor chip shortages, supply chain expectations, as well as any other statement that may be construed as a prediction of future performance or events are forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause actual results to differ materially from those expressed or implied by such statements.

Forward-looking statement disclaimers also apply to the demand for the Company's products and the impact from geopolitical conditions including any related international trade restrictions. These factors include uncertainties as to the ability to record revenues based upon the timing of product deliveries, shipping availability, installations and acceptance, accrual of expenses, coronavirus related business interruptions, changes in economic conditions, part shortages and other risks including those described in the Company's filings on Forms 10-K and 10-Q with the Securities and Exchange Commission (SEC), press releases and other communications.

Investor Relations Contact:
Darrow Associates, Inc.
Jordan Darrow
+1-512-551-9296
jdarrow@darrowir.com

Media Contact:
Data I/O Corporation
Jennifer Higgins
Director Corporate Marketing
higginj@dataio.com
+1-425-867-6922

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250053

FAQ

How much is Data I/O's (DAIO) largest adapter order worth in 2025?

Data I/O (DAIO) received its largest adapter order in company history, valued at nearly $1 million, from the European division of a major electronics distributor, to be fulfilled by September 2025.

What are the adapters used for in Data I/O's (DAIO) programming systems?

Data I/O's adapters serve as physical interfaces between their automated programming systems (like the PSV family) and semiconductor devices, including microcontrollers, flash memory, and programmable logic devices.

When will Data I/O (DAIO) deliver the million-dollar adapter order?

Data I/O expects to fulfill the million-dollar adapter order by the end of September 2025.

What benefits do Data I/O (DAIO) adapters provide to customers?

Data I/O adapters enable increased chip density, faster production cycles, improved programming yields, and time-to-market advantages through their expanding library of algorithms.

Who placed the record-breaking adapter order with Data I/O (DAIO)?

The European division of one of the world's most prominent electronics distributors placed the record-breaking adapter order with Data I/O.