OSAKA - Electronics maker Sharp Corp. has said it will spin off its semiconductor business, possibly in April 2019. The move is aimed at establishing a structure that enables prompt management decisions and the active introduction of outside resources through tie-ups with other firms. Sharp will set up two wholly owned subsidiaries that will absorb the semiconductor-related operations to be spun off, the company said Wednesday. One of the two units will focus on semiconductors and sensors and the other on semiconductor lasers. Sharp Chairman and President Tai Jeng-wu told reporters that the company's management resources are limited in the field of semiconductors so he wants to tap overseas and domestic resources, showing eagerness to forge alliances with other firms including Sharp's parent, Hon Hai Precision Industry Co. of Taiwan.
The U.S. has accused China of rigging the steel, aluminum, and green technology markets, and the semiconductor industry is the latest in the crosshairs. A White House working group has accused China of rigging the global semiconductor market by artificially reducing prices of chips. The President's Council of Advisors on Science and Technology (PCAST) also recommended ways to ward off the China threat and to strengthen the domestic market. China is encroaching on the U.S. semiconductor market through acquisitions and using state-driven policies and interference to hurt innovation, PCAST said in its report. Semiconductors are used in many products with an on and off switch.
The largest deal in the history of the semiconductor industry has been made. Semiconductors have a big impact on society and our daily lives, and US-based Qualcomm is buying up NXP - the Dutch global semiconductor giant - in a $47bn deal. The car is one of the most expensive items you've got... but it sits there doing nothing most of the time. With NXP's heavy involvement in the car industry, it appears that Qualcomm may also have plans to pursue a future in the field. The'smart car' industry is seeing a diverse array of movement, with Apple allegedly scrapping Project Titan, i.e. the Apple car.
For the semiconductor industry, the very technologies that disrupt the way companies operate are the same technologies that will be leveraged to create new products and businesses. It's time for semiconductor companies to take a strong stand and proactively define the next generation of technology--in a dual role, as customer and producer. DARQ technologies will not only change the semiconductor industry, they will also drive business growth. Blockchain/Distributed Ledger Technology will drive improvements via data provenance and faster traceability as well as enablement of compute and Artifical Intelligence(AI) capabilities. AI and extended reality will require custom chips, and quantum computing will bring about a new world of compute engineering.