As a start, the company plans to establish on Dec. 1 a division dedicated to developing fuel cell businesses.

Toshiba Corp. (TSE:6502) aims to strengthen its home-use fuel cell business by mobilizing its development and production resources.

As a start, the company plans to establish on Dec. 1 a division dedicated to developing fuel cell businesses.

The major electronics firm also plans to turn Toshiba International Fuel Cells Corp. (TIFC) into a wholly owned unit by purchasing a 49 per cent interest in the firm from joint venture partner United Technologies Corp. Toshiba will likely pay the major U.S. aircraft machinery maker 1.22 billion yen (US$11.6 million) for the 49 per cent stake.

Toshiba hopes these efforts yield sales of more than 1,000 home-use fuel cells in fiscal 2008, when commercialization of the technology is expected to begin in Japan. By fiscal 2010, the company hopes to earn at least 10 billion yen from the fuel cell business.

TIFC has developed both home- and industrial-use fuel cells, but will focus on developing and manufacturing 1kw-class home-use proton exchange membrane fuel cells (PEFCs) in the future. The firm aims to take part in a large-scale fuel cell test project that the Ministry of Economy, Trade and Industry and others are working toward launching in fiscal 2005.