Devastation in Japan sends aftershocks through tech industry

Supplies are likely to be affected, and Apple's shares are falling

The technology industry has started to feel the impact of the devastating earthquake in Japan last Friday, which measured 8.9 on the Richter scale, triggering a tsunami and a major nuclear incident.

The effect being felt in several areas highlights the central role Japan plays in the tech industry.

Only a few months from now some of the newest smartphones released to market could be in short supply, as key manufacturers are forced to shut down production.

This is a result of Mitsubishi Gas Chemical (MGC), the world's largest producer of bismaleimide-triazine (BT), halting production at its two plants in Japan on Friday, according to the FT.

BT is a resin used to make substrates that connect chips used in handsets to printed circuit boards.

MGC accounts for half the world's BT supply, and the closure is likely to delay handset chip production and smartphone assembly.

The company does not know when production will continue.

Major tech players, including Apple and Toshiba, are also experiencing a fall in stock prices as a result of the disaster.

Japan accounts for six per cent of tech giant Apple's sales and is a major source of components for its screens.

Apple's share price earlier in the week was down 4.5 per cent at $330.01 (£204.33), following a 2.3 per cent slide on Tuesday.

JMP Securities' Alex Gauna also downgraded Apple Stock, which saw Apple lose about $14bn of its value, according to Reuters.

"Investors should make sure that they are comfortable with the situation... especially since there is so much uncertainty right now," said Gauna.

"We know that Japan as a supplier matters," he added.

Toshiba, which manufactures flash memory chips and notebook computers, had a similar negative experience on the stock market.

This week the company's shares slid by almost 20 per cent to 331 yen (£2.60). However, unlike Apple, Toshiba's slide in the markets is a result of it being the manufacturer of several of the reactors at the damaged nuclear plant.

Toshiba's rivals in this market, Hitachi Ltd and Mitsubishi Heavy, also experienced share falls of more than 10 per cent this week, according to Reuters.

However, despite the negative impact of the disaster on the tech industry, the same industry is also proving to be a great help in leveraging the Japanese relief effort and finding missing people.

Within an hour of the earthquake hitting Japan, Google's philanthropic division, Google.org, launched a people finder on its main search engine web page, according to the Telegraph.

The site allows anyone to upload information on individuals involved in the disaster, and contains details of about 250,000 people.

Google has said that the page had been viewed 30 million times within 36 hours of launch and usage remains steady almost a week later.

"There are several resources that are absolutely critical in the immediate aftermath of a disaster, including food, water, medicines, sanitation and so on," said Jamie Yood, spokesman for Google.org.

"Alongside these, information and communication are vital resources too. We think it's fair to say that, in disaster areas, technology can help save lives."

Social networking has also played a part, with Zynga, games developer of FarmVille, using its reach on Facebook to raise money for Save the Children's Japan Earthquake Tsunami Children Emergency Fund.

The site's charity "virtual goods" have been on offer to users and have raised more than $1m.