In February 2006, Sony, Toshiba and NEC Electronics agreed they would co-develop technologies to make system chips with circuitry width of 45 nanometres, sharing hefty costs and pooling technological expertise. But now, Sony has announced it has no plan to pursue further development of advanced microchips in a three-way pact with NEC Electronics and Toshiba. Since any development efforts in the next stage would have more to do with actual production than the initial phase and Sony is considering contracting out production of 45-nanometer chips, it will not renew its contract with Toshiba and NEC Electronics, a Sony spokesman said. The contract between the three expired in March; Toshiba and NEC Electronics, the semiconductor unit of NEC, plan to sign a new contract to develop energy-saving and other technologies to improve the next-generation chips.