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Panasonic Abandons the Semiconductor Business With Taiwan Sale

Panasonic Abandons the Semiconductor Business With Taiwan Sale

Enterprise & IT Nov 28,2019 0

Panasonic Corp. is leaving the semiconductor business with the sale of its last business in that sector to a Taiwanese company.

Panasonic said Thursday it was transferring the semiconductor business operated by Panasonic Semiconductor Solutions Co. to Nuvoton Technology Corp.

In recent years, Panasonic has sold its semiconductor plants in Singapore, Indonesia and Malaysia.

Terms of the deal, which is set to be completed next year, were not disclosed.

Panasonic’s chipmaking has been struggling in recent years amid competition from cheaper rivals in South Korea and the rest of Asia.

“The competitive environment surrounding the semiconductor business has become extremely severe due to aggressive expansion of competitors, huge investments in the focused area and industry reorganization,” Panasonic said in a statement.

The company said it believed Nuvoton appreciates the strengths of Panasonic’s technology and will steer the business to stable growth.

Panasonic has also transferred another part of its semiconductor business to Japanese rival Rohm Co., scheduled to be completed this year.

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