Apple eyes buying Japanese chip firm
Print Edition
THE future of Apple Inc’s supply chain for its flagship smartphones has come under industry scrutiny as people familiar with the matter said Apple is in talks to buy control of a Japanese venture that makes key semiconductors for its iPhone screens.
The talks on what would be a rare acquisition in Japan for the US technology giant come as competition heats up in the smartphone industry, with pressure to produce larger, sharper and less battery-draining screens. That makes the advanced chips produced by the Renesas Electronics Corp division all the more valuable in future.
Renesas, a loss-making Japanese chipmaker that is restructuring to focus on its core auto business, is also in talks with other companies on selling its 55 percent stake in the chip division, known as Renesas SP Driver, people familiar with the matter said yesterday.
The people did not name the other companies, nor indicate the current status of the talks.
Desire for control over a venture that makes all the display control chips for the iPhone as Apple battles rival products from Samsung Electronics Co makes a compelling case for Apple to seek a deal, industry officials and analysts said.
Renesas said yesterday that it may sell the unit, but declined to comment further.
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