Rohm, Toshiba, Mitsubishi Electric to Begin Power Chip Integration Talks

Tokyo, March 27 (Jiji Press)–Rohm Co., Toshiba Corp. and Mitsubishi Electric Corp. have agreed in principle to start discussions on integrating their power semiconductor operations, the three Japanese firms said Friday. They intend to survive intensifying global competition by unifying their technologies and production capabilities. The move would create the world’s second-largest alliance for power chips, used to control electric currents and voltage. The three companies are expected to set up a new entity by combining their power semiconductor divisions, with details, such as the timing of the establishment and their investment ratios, to be discussed from now. The unification “is expected to contribute significantly to the development of a wide range of customer businesses and industrial sectors, as well as maximize the corporate value of the integrated entity,” they said in a statement. Rohm and Toshiba had considered the integration of their power chip operations. After major Japanese auto parts maker Denso Corp. proposed acquiring Rohm, Mitsubishi Electric joined the talks between Rohm and Toshiba. END [Copyright The Jiji Press, Ltd.]