Fujitsu and Panasonic announced that the two companies had signed a MOU (Memorandum of Understanding) to merge their system LSI (Large Scale Integration) businesses, according to the joint announcement released by Fujitsu and Panasonic on 7 February. By establishing a new company under a fabless business model, Fujitsu and Panasonic will integrate the design and development of the system LSI business, focusing on the areas of high-performance servers, cloud infrastructure, imaging applications, and mobile and wireless connectivity. It is expected that the consolidation will initiate starting from 1 April 2013 at the earliest.