Feeds

Japan's Renesas set for £1.6bn rescue plan

Japanese microcontroller-maker to receive government rev-up, says report

Top 5 reasons to deploy VMware with Tegile

Ailing Japanese chipmaker Renesas Electronics is set to receive a ¥200bn (£1.6bn) investment boost to help prop up the company, the majority of which will come from the government, according to new reports from the Far East.

The state-backed Innovation Network Corporation of Japan (INCJ) will plough around ¥150bn (£1.2bn) in for two-thirds of Renesas shares, according to several reports citing a Nikkei article.

The remaining ¥50bn (£397m) will apparently be funded by a group of top Japanese tech and auto firms including Panasonic, Canon, Toyota, Nissan and Honda.

The involvement of the car-makers is due to Renesas’ position as the world’s leading producer of microcontroller chips used in cars.

However, the fifth largest chipmaker on the planet has struggled to compete in recent times with local rivals in South Korea and Taiwan and in May was rumoured to be considering cutting a whopping 12,000 jobs.

The firm’s troubles have been mirrored nationwide as Japan’s once-proud semiconductor producers struggle to stay relevant.

Toshiba, Fujitsu Semiconductor and Mitsubishi all joined Renesas by announcing significant revenue losses in Q2 this year while debt-laden Elpida filed for bankruptcy in February.

A strong yen and the lingering effects of last year’s Tohoku tsunami and earthquake are also said to have taken their toll.

It is thought that the firms investing in the ¥200bn rescue package are looking to ensure the steady supply of microcontrollers for their products.

A Renesas spokesperson told The Reg they couldn’t confirm the report. ®

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.