Toshiba said it would continue to subcontract power semiconductor assembly and test to its former Malaysian IC assembly and test operations after being acquired by Amkor. Toshiba and Amkor expect to complete the transaction by early January 2012.
Toshiba noted that it was shifting its focus and resources to front-end wafer fabrication for power semiconductors by reinforcing production capabilities at Kaga Toshiba Electronics Corporation, Toshiba Group’s discrete semiconductor production base in Japan’s Ishikawa Prefecture.
The company expects Amkor’s purchasing power in the back-end operations will retain cost competitiveness. Amkor is expected to be granted a license from Toshiba for certain related intellectual property rights.