Word: nipponization
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American companies pioneered electronic technology and have dominated the industry ever since primitive semiconductors were first mass-produced in the 1950s. Now that supremacy is being threatened by a formidable and frightening competitor: Japan. Last year Japanese companies, led by Hitachi, Fujitsu and Nippon Electric, captured 70% of the world market for a new, advanced chip called the 64K RAM (for random access memory) that is expected to become the biggest-selling semiconductor product by 1985. This chip can store 65,536 separate bits of data, or four times the capacity of the 16K RAM, which until recently...
...industry exploded, however, Japan's presence began to be felt. Last year Japanese manufacturers rang up sales of $210 million. The companies include a number of well-established firms with recognizable brand names in digital watches, stereo equipment and calculators: Canon, Hitachi, Toshiba, Seiko, Sharp and Casio. Nippon Electric Co., the giant electronics firm, is now selling $100 million worth of personal computer equipment in the U.S., and last week it introduced three versions of its latest model...
...cast its shadow over their markets. To stay in business, even such multi-billion-dollar corporations as IBM, ITT, RCA and General Telephone & Electronics will have to run harder and innovate faster than they ever have before. Meanwhile, just behind the American companies are Japanese firms like Nippon Electric that are becoming more important every year in the rapidly growing field of high-technology communications...
...make matters worse, Japanese companies, including Hitachi, Nippon Electric and Fujitsu, are charging headlong at TI's semiconductor supremacy. They have already captured about 70% of the market for one new advanced chip, the 64K RAM (for random access memory), which can store 65,536 separate bits of information and is expected to become one of the most widely used pieces of computer hardware. TI last summer abandoned another information-storage technology, called the magnetic bubble memory, because it never caught on with enough computer makers. The company had invested more than $50 million to develop the bubble memory...
Both sides clearly benefit from the deal. For China, it means a return to work on two showpieces of the modernization drive. The Baoshan complex, to be built by Nippon Steel, was planned as an industrial cornerstone for the country. The Daqing petrochemical project, for which Peking had already imported most of the machinery, is intended to help make China a world-class producer of products ranging from ethylene to synthetic fibers...