Gartner Research

Renesas' Decision to Align With Rochester Could Shake Up the Relationship Between OEMs and Semiconductor Vendors in Japan

Published: 03 April 2014

ID: G00262837

Analyst(s): Masatsune Yamaji

Summary

Renesas Electronics has agreed to outsource its end-of-life products to Rochester Electronics. This agreement goes against the status quo for Japanese OEMs, which have been used to Japanese semiconductor vendors accepting their "extreme" requests for products, such as longtime delivery.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • Renesas' agreement with Rochester will improve Renesas' balance sheet and profit-and-loss statements
  • Renesas' agreement will lead to Japanese semiconductor market players carefully watching the reactions of Renesas' affiliated distributors and Japanese OEMs
  • Renesas' decision may encourage other Japanese semiconductor vendors to take more initiative against Japanese OEMs and lead to global competition

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