Industry Expert Blogs

The Japanese semiconductor industry has not learnt an important lesson - when in a hole stop digging. For a decade, the chip companies have been consolidating, and the consolidation has delivered little benefit.

The sum of the whole has always proved to be less than the parts, with the consolidated company shrinking just as its constituent parts had been shrinking.

Now Panasonic and Fujitsu are talking about merging their semiconductor businesses. It is thought the process could take a year.

The strategy will  most likely fail in the future as it has failed in the past.

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