If you happen to make a wireless phone call to China, it may be routed through a microprocessor chip produced by Raza Microelectronics Inc. Although RMI (later merged with NetLogic Microsystems) only began supplying integrated circuits in mid-2005, its microprocessors now power some of the most advanced communications network equipment in the world, and it counts the leading Chinese equipment suppliers among its customers. It has become the acknowledged technology leader in its chosen market.

How a Silicon Valley startup developed the world’s most sophisticated network microprocessor is a remarkable story. It is also especially relevant to our theme of global entrepreneurship, because RMI’s success hinged as much on its understanding of international markets as on its technical expertise.

RMI’s management realized early on that overseas markets were more open to network chip innovations from a startup than the domestic US equipment manufacturers, who had well-established chip suppliers with long-standing reputations. So the company decided that its primary sales target should be China, the world’s fastest-growing network equipment maker.