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Doing Business in Japan? San Jose's Tessera Looks to Licensees, Partners
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Ron Iscoff Editor |
When foreign companies attempt to enter the Japanese market, they usually find rather quickly that Japan runs a closed shop. That's the way it's been for decades. That's the way it's likely to be in decades to come. We're not saying that's bad or good; that's just the way it is.
Many companies in the semiconductor sector have spent tens of millions trying to break into the Japanese market by establishing their own on-site offices, only to run smack dab into the rice ceiling.
Considering how tough it is for large corporations to level the playing field in Japan, imagine the difficulties in store for a small company.
Enter, Tessera Technologies [tessera. com]. (This writer retains a special interest in Tessera Technologies, earlier known simply as Tessera. Chip Scale Review evolved, along with the now-defunct Chip Scale International trade show, from the fertile mind of Tessera's founder and then-marketing vice president Dr. Tom Di Stefano.)
Doing Business in Japan
Tessera's Kirk Flatow, marketing vp recently wanted to talk about doing business in Japan.
The IP company has been selling in that country since soon after its founding in 1990.
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Kirk Flatow
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"Japan has always been a leading region for package development, so we chose to become involved early in our history," Kirk observes.
In the past, Tessera maintained an office in Japan, but no more. Now, Tessera maintains a Japanese rep.
"Most companies," reports Kirk, "want a direct personal relationship with executives at company headquarters. Our rep provides mainly logistical and communications support."
This means, he adds, investing time and effort in supporting Japan directly Tessera's San Jose offices, in many cases.
If partnership are important anywhere, they are probably critical in Japan. Toshiba, says Kirk, has been a key Tessera partner. "We have worked with them to market their assembly processes around the world." The company also has several key Japanese licensees, including Hitachi, Sharp, Sony and Toshiba.
Although Japan has hardly been spared from the downturn, says Kirk, "There have been some pockets of strength and some surprising announcements. For example, Toshiba recently cancelled summer vacations for many factory works to meet customer demands for product."
And Neither Do Old Soldiers
My old friend, Eagle-eyed Tom Rigoli an engineer/writer and one-time magazine editor [trigoli@mindpik.com], was apparently the only one who caught the headline typo in my August-September column. The headline was supposed to read, "Unlike MacArthur's Old Soldiers..."
Somewhere between concept and production, the "i" vanished, leaving it as "Old Solders." Thanks for noticing, Tom.
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Bob Marrs
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Speaking of old friends, packaging industry vet Bob Marrs is back. Bob is the former founder/ CEO of Abpac, a VP at Amkor and most recently a vice president with Kulicke & Soffa. He was among the execs caught in a K&S layoff earlier this year.
Bob is now a consultant, operating under the monicker PackageTrends from his Phoenix-area office [bmarrs@packagetrends.com]. We're delighted to tell you that Bob has joined us as a contributing editor. You'll be seeing his columns starting with the next issue.
The Chapter 7 bankruptcy filing of Paragon Electronics, San Jose, in late January spurred Don Whitman to make a career change. Prior to January, Don spent had most of his career in the electronics industry, including several years with packaging foundry Pantronix, Fremont, Calif.
Don recently joined RE/MAX Valley Properties in Silicon Valley, where he plans to put his real estate license to good use as an associate broker. [don@whitmanrealty.com]
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