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Murata soldiers on amid steep competition

Posted: 04 Oct 2012 ?? ?Print Version ?Bookmark and Share

Keywords:ceramic capacitors? smartphone componentsm? supply chain?

Murata faces stiff competition and worker unrest but the Japanese electronics components manufacturer remains unfazed, this according to a report by Reuters.

CEO Tsuneo Murata was quoted saying that he expects increased component demand as various smartphone makers churn out a host of new devices and that his company was ready to meet all requirements.

Murata, which retains a large share of the global market for ceramic capacitors, was recently identified by Apple as part of its supply chain, providing key parts for the iPhone 5. With rival Samsung Electro-Mechanics moving in on its turf, Murata recently launched its newest capacitor measuring just 0.25 mm x 0.125 mm. The company believes that producing powerful micro components will enable it to offer a wider range of products that can be utilised for automotive and medical applications.

Unlike its competitors, Murata's clients are mostly based outside of Japan so dwindling local demand has not massively affected its revenue targets. Murata shaved off 17 per cent from its initial full-year operating profit forecast down to$717.40 million due to lower product prices and an unstable foreign exchange market.

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