The Renesas Electronics Corp is at a crossroads for fiscal year 2013 on whether to sell its ailing mobile chip building unit or not. This announcement was made after reporting its performance for the last quarter of 2012.
The company is the top maker of microcontroller chips that are used in vehicles. Back in 2012, the company received a US$1.8 billion bailout grant from the Japanese government. The mobile chip unit is owned in full by one of its biggest subsidiaries, Renesas Mobile. The business unit was acquired from Nokia Finland back in 2010 and the division has yet to turn a profit since its acquisition.
The company reiterated its focus for the car semiconductor business and industrial equipment. Just this February, the company cut back its earnings projections until March 2013 to an operating loss of 26 billion yen to a 26 billion yen profit for the year 2013.
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