Chipmakers Suspend Production.
Confronted with one of the worst slumps in the global semiconductor industry, Asian chipmakers have decided to shut down production plants and cut staff to cope with the severe downturn in demand.
Hynix Semiconductor (Ichon, Korea), the world's third largest computer memory chipmaker chip·mak·er
A manufacturer of electronic and integrated circuit chips. , became the latest chip manufacturer to announce drastic measures amid a slowdown in demand by suspending output in its U.S. plant for several months. The company will suspend chip production at its plant in Eugene, OR, for six months. During the suspension, about 600 employees will be placed on leave.
NEC (NEC Corporation, Tokyo, www.nec.com, www.necus.com) An electronics conglomerate known in the U.S. for its monitors. In Japan, it had the lion's share of the PC market until the late 1990s (see PC 98).
NEC was founded in Tokyo in 1899 as Nippon Electric Company, Ltd. (Tokyo, Japan), Japan's second-largest chipmaker, halted all operations at its Shiga Prefecture plant for 10 days amid a slump in the chip market in recent months. Fujitsu, the world's third-largest maker of flash memory chips, will halt some output of low-capacity flash memory chips. Fujitsu AMD (Advanced Micro Devices, Inc., Sunnyvale, CA, www.amd.com) A major manufacturer of semiconductor devices including x86-compatible CPUs, embedded processors, flash memories, programmable logic devices and networking chips. Semiconductor, a flash memory joint venture between Fujitsu and Advanced Micro Devices (AMD, Sunnyvale, CA), will halt its production line for small-capacity flash memories in Fukushima Prefecture for four weeks.
Hitachi (Tokyo, Japan) halted some operations in facilities in Ryuo, Yamanashi Prefecture, Komoro and Nagano Prefecture Nagano Prefecture (長野県 Nagano-ken , due to sluggish demand for chips used in cell phones for the European market.
Based in Singapore, John Shedd is Asia Correspondent; e-mail: lechat @pacific.net.sg.
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