NEC cuts chip spending

PUBLISHED : Tuesday, 11 August, 1998, 12:00am
UPDATED : Tuesday, 11 August, 1998, 12:00am

NEC Corp, Japan's largest maker of microchips, says it is cutting capital spending on microchip production in the year to March 1999, to stem losses on its unprofitable computer memory-chip business. In a reverse of its strategy of holding spending unchanged, Tokyo-based NEC would cut capital investment 17 per cent to 150 billion yen (about HK$7.95 billion), from an initial target for the period of 180 billion yen, an NEC official said.