Last week it was announced that Hitachi would be pulling out of the semiconductor sector and discontinuing all manufacturing of all semiconductors for IT and telecoms hardware. Their micro device division will cease producing their integrated circuits by March 31, 2014. The same division will be putting their focus on development and design of chips for Hitachi products, as well as other IT and telecoms hardware.

Obviously Hitachi have a sizable workforce in this sector and say that their human and management resources will be reallocated throughout the Hitachi Group.

The semiconductor industry is fierce, although this much can be said about any industry of course. Hitachi have been making semiconductor integrated circuits since 1975 and have put their skills and products to use in everything from communications to medial industries.

It seems Hitachi is following suit of many others of the last few years and turning towards out sourcing parts of their manufacturing process to not only save money but to also increase their competitiveness. Being able to boost their workforce in other areas of the business will only help strengthen their position, at least I'm sure that's their intention.

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