It appears that Toshiba intends to close down its facility based in Braunschweig, Germany, which currently produces various semiconductor components for the PC industry, and to transfer the equipment to another one previously built in Japan, informed EE Times.

Furthermore, Toshiba may complete the operation in the first months of 2007, according to a German newspaper, sacking more than 132 employees. Therefore, the local administration tries to change the company's mind because a facility means for a region a serious reduction of the unemployment rate.

Toshiba didn't comment on the story yet.

However, Toshiba has confirmed that it intends to build a semiconductor wafer facility dedicated to the profitable NAND flash memory devices in collaboration with SanDisk, a project which will necessitate until completion no less than $5, 2 billion.

"The candidate location, timing of construction and the scale of investment are still under consideration and yet to be determined," said the company.

But another fab is on Toshiba's waiting list - the one which will necessitate no less than 2 billion yen and will produce semiconductors, being based in the Bangkadi Industrial Park, approximately 35 kilometers north of Bangkok.

The representatives added that the building will feature a production area of over 8,000m2, and undertake production on high efficiency production lines that boost cost competitiveness.

"The Company is also assuring its continuing leadership in the global discrete devices market with investment like that in new production capacity for power devices at Kaga Toshiba Electronics Corporation, announced last May. The investment in TST takes proactive investment in discrete capacity to the international level," it is said in a press release issued by Toshiba.