Toshiba is expected to reduce its semiconductor line up of as many as 6,000 types in half by the end of this business year to boost efficiency, according to a report by Nikkei business daily.
Currently the world’s No 2 maker of flash memory, Toshiba will mainly review the production line up of chips used in automobiles and electronics. According to Nikkei, the plan is to narrow the range of products designed for each group of customers and increase the types of chips that let consumers add necessary functions by rewriting the software.
On August 10, the company warned that profits in its chip business could fall short of expectations, citing weak pc sales, faltering US and European economies and a higher Yen. The firm posted an operating profit of 1.6billion Yen for the April to June quarter, down more than 90% from a year earlier.
