Core Viewpoint - The power semiconductor market is deteriorating, leading to continuous capital outflow, exemplified by JS Foundry's bankruptcy filing due to challenges in customer acquisition and financial difficulties caused by the rise of Chinese competitors [1][2]. Group 1: Company Overview - JS Foundry, established in December 2022 with investments from the Japan Policy Investment Bank and others, has a total debt of 16.1 billion yen and employs approximately 550 people, with around 200 outsourced to other companies [1]. - The company acquired its Niigata factory from ON Semiconductor in 2022, which was originally built in 1984 by Sanyo Electric [2]. Group 2: Financial Performance - JS Foundry's revenue has significantly declined from approximately 10 billion yen at its inception to an expected 2.6 billion yen in the fiscal year ending December 2024 [2]. - The company had anticipated growth driven by electric vehicle demand, but this growth has not materialized as expected, leading to a worsening market situation starting in the second half of 2023 [2]. Group 3: Industry Context - The rise of Chinese power semiconductor manufacturers has hindered JS Foundry's ability to develop new customers, contributing to its financial struggles [1][2]. - Other companies in the power semiconductor sector, such as Wolfspeed and Rohm, are also facing significant challenges, with Wolfspeed filing for Chapter 11 bankruptcy and Rohm expecting its first net loss in 11 years due to investments in this sector [2].