It is reported that Toshiba Electronic Components and Storage Co., Ltd. has designated an investment of 100 billion yen for fiscal year 2022 (from April), which is about 45% higher than that of fiscal year 2021 (69 billion yen expenditure).

The funds will be used to build a new manufacturing facility at the Kaga Toshiba Electronics Plant in Ishikawa Prefecture, Japan. Construction is expected to begin in spring 2023.

With the accelerated realization of a carbon neutral society and the electrification of vehicles, the demand for power devices is increasing. Power semiconductors are mainly used for power supply and control in electronic equipment and help reduce energy losses.

Toshiba's capacity expansion includes silicon-based semiconductors, silicon carbide and gallium nitride devices.

In addition, Toshiba Electronic Equipment and Storage will expand its investment in hard disks. The company sees strong growth in hard disk drives for data centers and power equipment in the future, so it is urgently investing in both areas. To this end, the company also made structural changes to its semiconductor business in fiscal 2020 and eliminated its system-on-chip business.

Toshiba plans to invest 290 billion yen in its equipment business over the five years through fiscal 2025; in the previous five years, Toshiba had only invested 150 billion yen in its equipment business. From 2021 to 2022, Toshiba has invested 60% of the 290 billion yen, and Toshiba may continue to expand its investment.

Previously, the group had announced plans to split into three companies focusing on infrastructure, equipment and semiconductor memory. Later, due to the objection of shareholders, it proposed to split into two again, and was subsequently publicly opposed by ISS. Toshiba is still uncertain. Whether the split will be achieved.