Renesas Electronics announced it will shut down its mobile modem business, after failing to find a buyer for the business. The company announced in March a strategic review of the activities acquired from Nokia over two years ago, due to poor business returns and difficult market conditions. Renesas has now decided to shut down the business focused on developing and making LTE modems. It will continue to support older products already in mass production or used by customers. Going forward the company will focus on its automotive and industrial products. The shutdown, expected to be completed by the end of 2013, will affect sites in Finland, India and China, employing respectively 1,100, 300 and 30 employees. Renesas said it was still assessing the impact on its financial results.
