Mitsubishi Electric, Rohm, Toshiba to Explore Merger of Power Chip Businesses — Update

By Kosaku Narioka

Toshiba, Mitsubishi Electric and Rohm are exploring a possible merger of their power semiconductor businesses to cope with increasingly fierce international competition.

The Japanese companies said Friday that the proposed integration would create a globally competitive business in terms of both scale and technology to serve customers in different industries.

Rohm said the merged entity would rank second in the power device market, behind German chip-maker Infineon Technologies. The Kyoto-based chip maker also said the integration would achieve significant synergies in the fast growing artificial-intelligence server and data-center market.

Rohm said the companies expect to set up an operating company that would integrate their respective power-device businesses, but have yet to determine the detailed structure.

Rohm has been in talks with a Toshiba unit on strengthening their power semiconductor collaboration. The talks have now expanded to include Mitsubishi Electric.

Mitsubishi Electric's move comes after Toyota Motor-affiliated auto-parts supplier Denso recently made a takeover bid for Rohm, as semiconductors become crucial for vehicle electrification and self-driving technologies.

Rohm generates roughly half of its revenue from its automotive business. Toyota is Denso's biggest shareholder, with a 22% stake as of September.

Write to Kosaku Narioka at kosaku.narioka@wsj.com

(END) Dow Jones Newswires

March 27, 2026 05:36 ET (09:36 GMT)