PS3 - Sony Selling Chip Producing Facility

PS3 News by Lyndon M STAFF 243 days ago
sony playstation ps3 toshiba

Here's a bit of a surprise in the next-gen format war in high-def media: Sony is negotiating with Toshiba to sell Sony's microchip manufacturing facilities. These would be the same facilities that produce much of the circuitry inside the PlayStation 3.

Why sell? It's simple, really- Sony is finding it less expensive to outsource the work of making the chips to other companies. By cutting back on their own manufacturing in the expensive semiconductor field they will be able to concentrate more on other things such as image sensor chips for their digital cameras and camcorders.

This isn't a K-Mart blue light special though- the asking price is 100 billion yen. That's just shy of $870 million US into Sony's coffers.

Also, as a bit of bet hedging to make sure there are enough chips being produced for PlayStation 3 supplies, Sony is considering a partnership with Toshiba in managing the facilities.

Saving money on product parts and pulling in cash for facilities that aren't needed any more? Sounds like Sony is turning things around on the business side.

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