Toshiba plans to exit money-losing LSI chip business

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Toshiba Corp on Tuesday said it will exit the money-losing system LSI chip business as the Japanese conglomerate aims to boost the group's profit margins.

FILE PHOTO: The logo of Toshiba Corp is seen behind cherry blossoms at the company's headquarters in Tokyo, Japan April 11, 2017. REUTERS/Toru Hanai

The chip business includes image recognition processors supplied to Toyota Motor Corp, although Toshiba said it would continue sales and support operations for existing customers. The company said in a statement it decided to withdraw and “establish a solid business structure not easily affected by market fluctuations; one that is sustainable even during the continuing U.S.-China trade conflict.”

 

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