16 TOSHIBA CORPORATION A VIEW TO THE FUTURE Toshiba’s world-first combination HDD/DVD video recorder with network connectivity made a big splash on its launch into the Japanese market in December 2002. In addition to the largest hard drive available—a full 120GB—it is capable of recording up to 156 hours of video. Toshiba’s electronic devices domain begins with semiconductors and goes on to the liquid crystal display business—now the responsibili- ty of Toshiba Matsushita Display Technology Co. Ltd., our joint venture with Matsushita Electric Industrial, Co., Ltd. — secondary bat- teries and parts and materials. Semiconductors are a core growth industry. As an integrated device manufacturer (IDM), we are determined to retain our leadership in the global market and our position among the world’s top-three IC manufacturers. achieving a leading position in the global SoC business. These efforts are supported by world- class capabilities in three core product areas: discrete devices, where Toshiba is number one in the global market; analog products, which enjoy wide demand in fields as diverse as au- dio-visual products communications, and automotive products; and NAND flash mem- ory, the versatile non-volatile memory that supports rapid advances in memory cards and electronic equipment such as digital still cam- eras and mobile telephones. By nurturing the growth field of SoC, we look to acquire busi- ness from the leading companies we target in each business field. Our business strategy is centered on the ability to propose innovative solutions to our customers. This allows us to create new mar- kets and to cultivate next-generation sources of growth that will secure continued global lead- ership. We also attach great importance to cooperation with strategic partners. Withdrawal from a commodity DRAM busi- ness that was increasingly uncertain and buffeted by shifts in the PC market freed re- sources for investment in NAND flash memory—an increasingly important product area that will grow alongside demand for mul- NAND flash memory capacity reached a new high in June 2002, when we started mass production of a 2GB device. Use of state-of-the-art 130nm process technology allowed us to use the same package as 1GB products fabricated with our 160nm technology. The Semiconductor Company is intent on Strategy and Vision Semiconductor Company Memories Markets, Products and Technology Electronic Devices Businesses