THIEF RIVER FALLS, MN – Digi-Key reported 2014 revenue of $1.76 billion on strong sales from North America.

In North America, where the component distributor earns about 60% of its revenue, sales rose 11% year-over-year. The company credits its strong performance to its hybrid distribution model.

In 2014, Digi-Key noted healthy demand for Internet of Things (IoT) or device-to-device connectivity, driven by advances in wireless, embedded, single board computers, sensors and motion control, and cloud-enabled applications. There is increasing demand for pre-built modules and development kits built around single board computers with other embedded technologies, says the firm.

“We experienced an innovation-fueled demand for emerging technologies to support the development of new applications,” said Digi-Key’s executive VP of sales and supplier management, Chris Beeson. “A spike in new product introduction activity lends itself extremely well to our model, which is ideal for fast-turn production runs and high-mix, low-volume orders.”

“It's an extraordinary time of growth in this industry,” said Dave Doherty, executive VP of operations for Digi-Key. “Along with breakthrough wireless and embedded technologies, the cost of components continues to drop; high-value EDA tools are now affordable, and other game-changers like open source software and crowdfunding resources are breaking down the walls for the design engineer.”

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