Japan's Toshiba Subsidiary Plans to Spend 5.304 billion Yuan to Expand Power Semiconductor Capacity
It is reported that Toshiba Electronic Components and Storage Devices Co., Ltd. has designated an investment of 100 billion yen (about 5.304 billion yuan) for the 2022 fiscal year (from April), which is about 45% higher than the 2021 fiscal year (69 billion yen expenditure).
increase is expected to fund the construction of a new manufacturing facility at the site of the company's production subsidiary, Kaga Toshiba Electronics, in Ishikawa Prefecture. Construction is scheduled to begin in the spring of 2023. It will also include the installation of a new production line within the existing structure. The line upgrade is expected to help Toshiba increase its power semiconductor capacity by about 150%. Capacity expansion will cover not only power devices made of silicon wafers, but also next-generation chips with silicon carbide and gallium nitride as wafers.
well known in the industry, power devices are widely used for power supply and control in electronic equipment, which helps to reduce energy loss. With the acceleration of carbon neutrality and the electrification of vehicles, the market demand for power devices is increasing.
worth mentioning that Toshiba will also expand its investment in hard drives, another major product category. The company believes that the hard drives of data centers and power equipment will see strong growth in the future, so it is urgently increasing its investment in these two areas. To this end, the company also reformed its semiconductor business in fiscal year 2020, ending the development of LSI system chip business.
the company plans to earmark 290 billion yen for the equipment business in the five years to fiscal year 2025, compared with 150 billion yen in the previous five-year period. However, since about 60% of the budget has been used in the first two years of the current five-year term, the company stressed that it would consider investing more funds if necessary.
international electronics business learned that Toshiba, founded in 1875, was once a symbol of Japanese manufacturing. You know, half a century ago, Toshiba almost "dominated" the global home appliance market. However, like other former brands, since 2008, with the rapid development of China's local manufacturing industry and the implementation of the new labor law, the advantage of Japanese brands is no longer, and Toshiba's home appliance business has lost money year by year. From 2012 to 2015, Toshiba, which had accumulated losses of 12.5 billion yuan in three years, started"Slimming Project".
"Privatization" Blocked Twice Toshiba Appoints New CEO
before,The group has announced plans to split into three companies targeting infrastructure, equipment and semiconductor memory., and then due to shareholder opposition, againproposed to split one into two, which was subsequently publicly opposed by ISS, so whether Toshiba can split successfully is still uncertain.
, Toshiba announced new personnel appointments. Former Toshiba chief Satoshi Tsunakawa resigned, and Taro Shimada, who replaced him, vowed to push forward the spin-off plan. Toshiba positioned personnel changes as a way to prepare for the spin-off.
worth mentioning that before Tsunakawa resigned, he said that he opposed the spin-off plan, because privatization may cost the company orders from utilities and local governments, and force the company to sell sensitive technologies in areas such as nuclear, defense and cyber security.
