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Fujitsu and Panasonic to Consolidate System LSI Businesses in New Company 2013.02.10

Tokyo and Osaka, Japan - February 7, 2013 - Fujitsu Limited and Panasonic Corporation (NYSE:PC/TSE:6752) today announced that the two companies have signed a memorandum of understanding (MOU) to consolidate the design and development functions of the system LSI businesses of Panasonic and Fujitsu Semiconductor Limited, a wholly owned subsidiary of Fujitsu. In establishing the new integrated company, Development Bank of Japan Inc. (DBJ) has been asked to assist with investment and financing. With the new integrated company, Fujitsu and Panasonic plan to combine the technological prowess that they have long accumulated, while concentrating new investments on key fields to be a global top-level LSI company.

Panasonic Corp. President Kazuhiro Tsuga delivers the opening keynote at the 2013 International CES in Las Vegas, USA.
Photo courtesy the 2013 International CES
 

Tokyo and Osaka, Japan - February 7, 2013

Fujitsu Limited
Panasonic Corporation

Fujitsu Limited and Panasonic Corporation (NYSE:PC/TSE:6752) today announced that the two companies have signed a memorandum of understanding (MOU) to consolidate the design and development functions of the system LSI businesses of Panasonic and Fujitsu Semiconductor Limited, a wholly owned subsidiary of Fujitsu.

Panasonic Corp. President Kazuhiro Tsuga
Courtesy of Panasonic Corp.
 
With the backing of capital contributions from third-party investors, Fujitsu and Panasonic will establish a new company under a fabless business model, enabling LSI design and development functions
.

Industry members view the latest in technology in the Central Hall of the 2013 International CES in Las Vegas, USA.
Photo courtesy the 2013 International CES
 
At the same time, the two companies have agreed to discuss the transfer of business to the new company.

In establishing the new integrated company, Development Bank of Japan Inc. (DBJ) has been asked to assist with investment and financing.

Industry members view the latest in technology in the Central Hall of the 2013 International CES in Las Vegas, USA.
Photo courtesy the 2013 International CES
 
Fujitsu and Panasonic are currently engaged in detailed discussions with the goal of promptly finalizing a contract.



1. Background and Objectives of the New Company

Fujitsu Semiconductor and Panasonic each possess advanced technologies and significant intellectual property in the field of system LSI devices, and have been supporting the products of customers both inside and outside Japan through the provision of advanced system LSI devices.

Panasonic making news announcements during a press conference at the 2013 International CES in Las Vegas, USA.
Photo courtesy the 2013 International CES
 
In recent years, however, as market conditions have rapidly deteriorated and overseas semiconductor manufacturers have risen in prominence, the system LSI businesses of Fujitsu Semiconductor and Panasonic have been facing a severe business environment.

Fujitsu is creating the networked world that will bring end-users greater comfort, convenience, safety and security than ever before.
Courtesy of Fujitsu
 
In light of this situation, Fujitsu and Panasonic have both come to acknowledge that bringing together their respective advanced technologies and customer bases is vital to build a competitive business globally.

Over 170,000 Fujitsu people support customers in more than 100 countries.
Courtesy of Fujitsu
 
Focusing on system LSI marketing, design and development under a fabless model, Fujitsu and Panasonic aim to achieve future growth in system LSI businesses.

For these reasons, the two companies have agreed to discuss the establishment of a new company.

Fujitsu Data Center Services. Making your data center fit for business.
Courtesy of Fujitsu
 
With the new integrated company, Fujitsu and Panasonic plan to combine the technological prowess that they have long accumulated, while concentrating new investments on key fields to be a global top-level LSI company.

Areas of focus include
:

1) High-performance solutions (high-performance servers and core technologies that support cloud infrastructure such as ultra-high-speed networks),

2) Visual and imaging solutions (next-generation DTV, applications for image recognition, etc.), and

3) Wireless solutions (mobile and extremely low-power wireless connectivity solutions that support ubiquitous networks).

Realizing a Human Centric Intelligent Society.
To make the Human Centric Intelligent Society - creating new value in the real world through Human Centric IT - a reality, Fujitsu is researching and developing advanced technologies along two axes - "convergence," linking customers from different sectors together through big data spanning myriad industries, and "vertical integration" for overall optimization
.
Courtesy of Fujitsu
 
Deliberations are underway with DBJ regarding the procurement of investment funding for increasing global competitiveness in key fields.



2. Outline of the Memorandum of Understanding

The outline of the memorandum of understanding (MOU) signed by Fujitsu and Panasonic is described below.

Details regarding the new company have not been decided at the present time.

Fujitsu and Panasonic will consolidate the design and development functions of the system LSI businesses of Panasonic and Fujitsu Semiconductor and, with the backing of capital contributions from third-party investors, will establish a new company under a fabless business model, enabling LSI design and development functions.

At the same time, the two companies have agreed to discuss the transfer of business to the new company.

The increasing diversity of cloud services - including those involving big data - has created a need for flexible systems better tailored for each service, compared to datacenters for traditional Web services.
To answer this need, Fujitsu has developed a resource pool architecture in which the hardware components, such as CPUs and HDDs, are linked together with high-speed interconnects.
This has enabled development of a next-generation server prototype that simultaneously delivers high performance and flexibility
.
Courtesy of Fujitsu
 
Based on the technologies, know-how, and customer bases of Fujitsu Semiconductor and Panasonic, the new company will act as an independent entity and focus its management resources on product areas that are the forte of Fujitsu and Panasonic as it seeks to become a global leader.


3. Future Schedule

Fujitsu and Panasonic are currently engaged in detailed discussions with the goal of promptly finalizing a contract.


About Fujitsu


Fujitsu is the leading Japanese information and communication technology (ICT) company offering a full range of technology products, solutions and services.

 
 
Over 170,000 Fujitsu people support customers in more than 100 countries.

We use our experience and the power of ICT to shape the future of society with our customers.

Fujitsu Limited Headquarters, Shiodome City Center, Tokyo, Japan.
Courtesy of Fujitsu
 
Fujitsu Limited
(TSE:6702) reported consolidated revenues of 4.5 trillion yen (US$54 billion) for the fiscal year ended March 31, 2012.

For more information, please see http://www.fujitsu.com  


About Panasonic


Panasonic Corporation is a worldwide leader in the development and manufacture of electronic products in three business fields, consumer, components & devices, and solutions.

 
 
Based in Osaka, Japan, the company recorded consolidated net sales of 7.85 trillion yen
for the year ended March 31, 2012.

Panasonic's stock is listed on the Tokyo, Osaka, Nagoya and New York (NYSE:PC) Stock Exchanges.

Panasonic Center Tokyo is a Corporate Global Communications Hub for Panasonic.
Courtesy of Panasonic Corp.
 
The company has the vision of becoming the No. 1 Green Innovation Company in the Electronics Industry by the 100th year of its founding in 2018
.

For more information on Panasonic, its brand and commitment to sustainability, visit the company's website at
http://panasonic.net/  


Press Contacts

Fujitsu Limited
Public and Investor Relations
Inquiries
https://www-s.fujitsu.com/global/news/contacts/inquiries/index.html  

Panasonic Corporation
Corporate Finance & IR Group
Tel: +81-6-6908-1121


Source: Fujitsu Limited

http://www.fujitsu.com/global/news/  



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Fujitsu Announces New "Floral Kiss" Brand of FMV Personal Computers for Women

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ASTROMAN Magazine - 2012.02.25

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Supercomputer "K computer" Takes First Place in World

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ASTROMAN Magazine - 2011.06.05

Fujitsu Releases Primesoft Server v1.1

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