Access Network Technology

History

2012: Creation of the Japanese alliance on production of semiconductor products

On August 1, 2012 the Japanese companies Fujitsu NTT DOCOMO NEC, Fujitsu Semiconductor announced creation of joint venture for development and sale of semiconductor products with the built-in functions of the modem for use in a communication equipment. The company received the name Access Network Technology Limited. Operating activities are going to begin in August, 2012.

According to the statement of the parties, creation of the joint venture will allow the companies to offer clients the advanced microelectronic developments for smartphones and mobile data transmission. The companies expect even more rapid growth of the market of smartphones and on its background products of the joint venture will have competitive advantage due to joint work of project participants.

Distribution of shares

According to the official statement, Fujitsu will have 52.8% in the new enterprise, DOCOMO - 19.9%, NEC - 17.8%, Fujitsu Semiconductor - 9.5%. Capitalization of the joint venture will make 100 million Japanese yens. The company in Kawasaki will be based. The president it is appointed to Sakat's Minor. The total quantity of employees at the initial stage is planned in number of 85 people.

Objectives

According to Reuters with reference to Fujitsu, in 2014 is going to occupy the joint venture 7% of the world market of chips for smartphones. The marketing director of the Zelenograd company "NIIME and Mikron" Karina Abagyan in a conversation with the correspondent of TAdviser expressed opinion that it is quite realistic plans.

She considers that regionality and a nishevost of the project will be its advantage. "They can successfully meet demand for microchips in the niche, using local preferences and advantages in logistics, - Abagyan considers. - Regional specialization of the joint venture is its advantage, especially considering that in Japan the standard of mobile communication".

The representative of the Russian producer of microelectronics Angstrem also considers that the alliance will well develop in the region. "Each of participants of joint venture has strengths: Fujitsu has a design and production of electronic components and systems, design and assembly; NEC have a production and technology, and NTT, being the largest national telecom operator, will actually create sales market for the new company", - he told the correspondent of TAdviser.

According to the representative Angstrem, creation of the Japanese joint venture it is dictated not only desire to provide highly competitive products to the clients, but also not to give the chance Chinese producers of microelectronics to monopolize this market.

"If rumors about sale of Fujitsu remain rumors (it is about sale of Fujitsu of the microelectronic division to the Chinese TSMC, - a comment of TAdviser), then based on the existing fine business relations between Fujitsu, NEC and ARM company - the largest world developer of architecture of the processors focused on use in portable and mobile devices the partner companies have a quite good chance to create national Japanese foundry which will begin the powerful response to all attempts of the Chinese TSMC to monopolize the market of production of electronic components for mobile devices", - the representative of Angstrem argues.

"Thus, two problems are solved at once: improving competitiveness due to consolidation of knowledge and production assets and also focus on the most intensively developing segment", - he concluded.

However, according to Karina Abagyan, positions of Chinese and also the American Qualcomm, one of leaders in production of chips for smartphones, are rather strong in the world market and it will be not so simple to shake them.

According to IDC, the share of Qualcomm in world production of chips for smartphones exceeds 30%.