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December 10, 2012

Hitachi to stop chip production by 2014

The firm has already outsourced production of other products as part of huge efficiency drive

By CBR Staff Writer

Japanese company Hitachi has confirmed that it will discontinue production of semiconductors used in information and telecommunication hardwares. The move is an effort to boost the competitiveness of its business, the company said in a statement.

The firm will cease production of semiconductor integrated circuits, currently built by its Micro Device Division under the Information & Telecommunication Systems, by 31 March 2014.

Further, the firm will focus on promoting business and pursue greater management rationalisation through specialised development, design and quality assurance of LSIs mainly for the products including information and telecommunication hardwares.

The company will also focus on optimally allocating production-related human resources and other management resources all through the Hitachi Group.

Hitachi said that it has already outsourced production of other products to slash manufacturing costs and enhance efficiencies at the company

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