Toshiba To Invest $1 Billion To Double Power Chip Production

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Toshiba Corp said on Friday it will invest about 125 billion yen ($1.09 billion) to more than double the production of power management semiconductors, aiming to catch up with power chip giants such as Infineon Technologies AG.
The Japanese industrial conglomerate will build a cutting-edge 300-millimeter fabrication plant in central Japan for power management chips, which efficiently control electric power in cars, electronic devices, and industrial equipment.
Toshiba will invest around 100 billion yen in the new plant, on top of a 25 billion yen investment in a 300-millimeter fabrication line it is building at an existing chip plant, a Toshiba spokesperson said.
The new plant is set to start operating by March 2025. When the first phase is complete, Toshiba’s power chip output capacity would be 2.5 times its current level. Depending on demand, the new plant could further expand with additional investment, the spokesperson said.
Questions & Answers
Q.What is the primary goal of Toshiba's significant investment in power chip production?
What is the primary goal of Toshiba's significant investment in power chip production?
Toshiba aims to more than double its production of power management semiconductors. This substantial investment is intended to help the company compete more effectively with leading power chip manufacturers like Infineon Technologies AG.
Q.Where will Toshiba's new power management chip fabrication plant be located, and when is it expected to begin operations?
Where will Toshiba's new power management chip fabrication plant be located, and when is it expected to begin operations?
The new cutting-edge 300-millimeter fabrication plant for power management chips will be built in central Japan. Toshiba expects this facility to commence operations by March 2025, significantly increasing its output capacity.
Q.How will this investment impact Toshiba's overall power chip output capacity once the first phase is completed?
How will this investment impact Toshiba's overall power chip output capacity once the first phase is completed?
Upon completion of the first phase, Toshiba's power chip output capacity is projected to reach 2.5 times its current level. This increase is a direct result of the new plant and an existing fabrication line investment.
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