Toshiba has informed Japan's defense ministry that it plans to keep defense-related semiconductor operations even after its memory chip business is sold, it was learned Thursday.

Radars using Toshiba chips boast excellent detection capabilities and feature in such equipment as the Maritime Self-Defense Force's state-of-the-art P-1 patrol aircraft, and a ballistic missile early-warning radar used by the Air Self-Defense Force. These custom-designed chips are made by a division of Toshiba's internal infrastructure systems and solutions company, which will remain under the conglomerate's umbrella.

Toshiba assured the ministry's Acquisition, Technology and Logistics Agency that this business will not be sold and that the conglomerate will keep working to retain engineers even after spinning off and selling its memory operations.

The potential security risks involved are significant. If China, for example, were to gain a full grasp of Japan's surveillance capabilities, its growing military forays into disputed waters could pose a greater threat to regional security. This technology must also be kept away from North Korea as it works to upgrade its missiles.

Japan's defense industry operated in a market worth roughly 1.6 trillion yen ($14.3 billion) in fiscal 2014, producing not only weapons but also such equipment as communications and information systems for the military. The industry involves thousands of companies, with Mitsubishi Heavy Industries and Kawasaki Heavy Industries among the most prominent developers and producers of military equipment.

The government lifted a ban on the transfer of defense equipment and technology in 2014, allowing exports and joint development under certain conditions. Japan imposes stringent conditions on recipients to ensure that exported equipment or technology does not end up in the hands of third parties.

By: DocMemory
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