Applied Materials combines non-core businesses
US-APPLIEDMATERIALS:Applied Materials combines non-core businesses
By Noel Randewich
SAN FRANCISCO (Reuters) - Top chip gear-maker Applied Materials said it plans to combine two poorly performing non-core businesses - solar and display -- under one leader.
Applied Materials said in a statement on Wednesday it hired KLA-Tencor veteran Ali Salehpour to head the new group.
Chipmakers worried about the global economy and wrestling with declining PC sales have been spending less on new manufacturing equipment sold by Applied Materials.
But its non-core businesses have also performed poorly and the company said in October it would cut its workforce by 6 percent to 9 percent to reduce costs.
The solar panel industry has more than enough capacity to meet demand, and manufacturers of displays for TVs and other devices also face supply gluts.
(Reporting By Noel Randewich; Editing by Bernard Orr)