Talks among ROHM, Toshiba and Mitsubishi Electric on integrating their power semiconductor businesses are dragging on. They had aimed to reach an agreement around summer, but continue to narrow the plan to a new structure centered on a holding company.
Talks among ROHM, Toshiba and Mitsubishi Electric on integrating their power semiconductor businesses are dragging on. They initially aimed to reach a certain level of agreement around summer, but are now considering an integration plan centered on a holding company structure. The talks remain opaque amid a struggle for control, including over ownership ratios.
A plan is under consideration to place ROHM's and Toshiba's analog semiconductor and sensor-related businesses under an operating entity formed beneath a holding company, with the power semiconductor divisions transferred to that entity. However, the scope and details of the businesses to be separated have not been finalized.
The sharp increase in semiconductor demand resulting from the AI boom and delays in obtaining China's antitrust approval are factors behind the delay and are seen as hindering progress in the talks.
Japanese companies have a presence in the global power semiconductor market, and a successful integration could propel them to No. 2 worldwide. However, Chinese manufacturers are rapidly catching up, making the integration urgent to strengthen competitiveness.