Sunday, October 23, 2011

Panasonic to slash domestic chip output: Nikkei (Reuters)

TOKYO (Reuters) ? Japanese electronics maker Panasonic Corp will scale back domestic semiconductor output by the end of March 2012 and cut about 1,000 jobs, reflecting its recent move to reduce TV panel production, the Nikkei business daily said on Sunday.

All of the firm's five domestic chip-manufacturing facilities, including the state-of-the-art Uozu plant in Toyama prefecture, will cut output, the report said.

The company is likely to outsource more semiconductors from such firms as Taiwan Semiconductor Manufacturing Co and boost its outsourcing ratio from the current 10 percent to around 30-40 percent within a few years, the report said.

Officials with the company were not immediately available for comment.

Panasonic will reduce plasma TV panel production and lay off about 1,000 people, a source told Reuters on Thursday, as its loss-making television unit struggles to compete with Asian rivals like Samsung Electronics.

(Reporting by Osamu Tsukimori; Editing by Matt Driskill)

Source: http://us.rd.yahoo.com/dailynews/rss/semiconductor/*http%3A//news.yahoo.com/s/nm/20111023/bs_nm/us_panasonic

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