How times have changed for Japanese semiconductor companies
Fujitsu's semiconductor business has been the subject of much speculation over the last five years, rumours which didn't come to pass.
But smoke is now accompanied by fire: Fujitsu and Panasonic are to spin their system LSI design interests off into a new company - and that company will be fabless.
The current state of the Japanese semiconductor industry contrasts starkly with that of the 1980s, when the various companies swept all before them and panicked Western governments into reshaping their technology agendas.
Things are different today. A combination of economic circumstances and the legacy of Japanese employment customs have dealt serious body blows to the erstwhile stars of the semiconductor world.
Hamstrung by heavy losses, these companies are cutting jobs, cutting costs and, in some cases, merging. Almost all have needed assistance from the Japanese government. How times change.
