Japan’s Hitachi to cease production of chips by March 2014 – in efforts to boost cost efficiency

Corporate - Economy Mahalakshmi Kabilan

Hitachi, Ltd. , headquartered in Tokyo, Japan, is a leading global electronics company with approximately 320,000 employees worldwide.

Today Hitachi has announced that it would stop production of chips used in information and telecoms hardware by the end of March 2014, in-order to optimally allocate management resources to better enhance the competitiveness of Hitachi’s Information and Telecommunication Systems business.

hitachi-ceases-chip-production-2014

“The semiconductor industry has seen an increasingly horizontal division of labor in terms of development, design and manufacturing in recent years.Going forward, Hitachi will promote a business specializing in the development, design and quality assurance of LSIs primarily for Hitachi Group products, including information and telecommunication hardwares.”, read the new release of Hitachi.