Feeds

Fujitsu and Panasonic about to walk down LSI aisle

Giants set a date to marry chipworks after 15 month engagement, report says

Protecting users from Firesheep and other Sidejacking attacks with SSL

Fujitsu Semiconductor and Panasonic are ready to jointly launch a new chip company this autumn as part of the duo’s plans to merge their LSI businesses, according to reports.

The new venture will have ¥50 billion (£294m) in funding, with Fujitsu chipping in ¥20bn, Panasonic ¥10bn and the Development Bank of Japan stumping up the rest, “two sources familiar with the matter” told Reuters on Tuesday.

The news comes just over six weeks after Fujitsu announced it was dissolving a joint venture with NEC and NTT to build chips for smartphones.

Fujitsu established Access Network Technology Limited in August 2012, taking a majority 52.8 per cent stake in the business. However, just 18 months later it claimed “fierce competition” had forced it to close the company.

Panasonic will doubtless hope this upcoming venture with Fujitsu doesn’t suffer the same fate.

On paper it has a better chance of success, given that this is not a case of launching into a new technology segment, but the product of a decision taken last year to consolidate the design and development functions of the two firms’ LSI businesses.

At the time they had the following by way of explanation:

In recent years … as market conditions have rapidly deteriorated and overseas semiconductor manufacturers have risen in prominence, the system LSI businesses of Fujitsu Semiconductor and Panasonic have been facing a severe business environment.

In light of this situation, Fujitsu and Panasonic have both come to acknowledge that bringing together their respective advanced technologies and customer bases is vital to build a competitive business globally. Focusing on system LSI marketing, design and development under a fabless model, Fujitsu and Panasonic aim to achieve future growth in system LSI businesses.

Japan's once proud chip giants have suffered a pretty dreadful slump in fortunes over recent years, ultimately leading to Elipda's acquisition by Micron and a $1.8bn government-led bailout of Renesas. ®

Website security in corporate America

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Israeli spies rebel over mass-snooping on innocent Palestinians
'Disciplinary treatment will be sharp and clear' vow spy-chiefs
Apple CEO Tim Cook: TV is TERRIBLE and stuck in the 1970s
The iKing thinks telly is far too fiddly and ugly – basically, iTunes
Huawei ditches new Windows Phone mobe plans, blames poor sales
Giganto mobe firm slams door shut on Microsoft. OH DEAR
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Found inside ISIS terror chap's laptop: CELINE DION tunes
REPORT: Stash of terrorist material found in Syria Dell box
Show us your Five-Eyes SECRETS says Privacy International
Refusal to disclose GCHQ canteen menus and prices triggers Euro Human Rights Court action
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.
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.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.