Speaking at a press event in Taiwan on November 23, Kobori said that AKM has increased its outsourcing to IC packaging specialists Advanced Semiconductor Engineering (ASE) and ChipMOS Technologies, and testing firm Thailin Semiconductor.
AKM currently intends to keep 50% of its backend production in-house, and the remainder will be outsourced, Kobori indicated. But over the long term, the company will only adjust upward its outsourcing proportion in order to mitigate the effects of the yen's rise, Kobori said.
The March earthquake in Japan has also encouraged AKM to outsource overseas, a move to diversify production capacity geographically and avoid supply-chain disruptions caused by natural disasters, Kobori noted.
AKM's electronic compass chips are being used by Apple, HTC and Samsung Electronics for their smartphones and tablets.