Toshiba 2007 Annual Report Download - page 28

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26
>
Electronic Devices increased consolidated net sales by 269.2 billion yen to 1,657.3
billion yen. The Semiconductor business saw increased sales against the previous
year on solid sales of memories, mainly NAND Flash memory. Sales in the LCD busi-
ness also increased on overseas sales growth. The Components business reported a
sales decline, reflecting the cessation of production of some Cathode Ray Tube
related products.
Consolidated operating income of Electronic Devices was 119.7 billion yen, a
decline of 3.6 billion yen from the previous year. The Semiconductor business saw
decreased operating income as a result of a significant decline in prices of NAND
Flash memories, while the LCD business posted higher operating income, largely
the result of focusing sales on high value-added products and of thorough cost
reduction programs. Through a joint venture with SanDisk Corp., we expanded
production of NAND Flash memories. Toshiba signed a contract with Micron
Technology Inc. regarding the transfer and licensing of semiconductor patents, and
agreed to end all ongoing disputes with Lexar Media, Inc., Micron Technology’s sub-
sidiary. In addition, it concluded a patent cross-license contract with Hynix
Semiconductor Inc. in South Korea to terminate all of the disputes. Toshiba sold all
of its shares in SED Inc. to Canon Inc., but will continue to strive to launch a TV busi-
ness utilizing high picture quality SED panels.
11.6%
3.9%
Source: DisplaySearch ( January 2007)
Source: iSuppli Corporation (March 2007)
Toshiba’s position in the market
> Electronic Devices Segment
BUSINESS REVIEW
Share of the global semiconductors market for 2006
Sales (Million of US$) Share (%)
1■Intel 31,542 12.1
2■Samsung Electronics 19,842 7.6
3■Texas Instruments 12,600 4.8
4■Toshiba 10,141 3.9
5■STMicroelectronics 9,854 3.8
■Others 176,215 67.8
Total 260,194 100.0
Share of the global small- and mid-sized TFT-LCD market for 2006
(Amount base) Share (%)
1■Sharp 21.1
2■Toshiba Matsushita Display Technology 11.6
3■Sanyo Epson 10.3
4■Samsung 9.2
5■Hitachi 6.3
■Others 41.5
Total 100.0