Sony, TSMC to invest US$6.4bil in joint chip plant in Japan
The joint venture project will be launched in southern Japan’s Kumamoto, where TSMC has set up its own chip fabrication plant.
Sony Group Corp and Taiwan Semiconductor Manufacturing Co (TSMC) are discussing a potential joint investment of US$6.4 billion in a new factory set to be built in Japan, according to a source familiar with the plans. The Japanese electronics giant's chip division, Sony Semiconductor Solutions Corp, and TSMC are aiming to produce next-generation image sensors for use in robots and automobiles.
The joint venture will commence operations in 2029, according to the source. Sony is projected to become the majority shareholder in the new joint venture, while TSMC will hold a minority stake. The project is set to begin production in southern Japan's Kumamoto prefecture, an area where TSMC already operates a chip fabrication facility.
An expansion of the factory could be considered if the Japanese government provides additional support. Sony's shares surged by up to 2.2% on Monday morning, while TSMC experienced a 1.7% increase. The investment aligns with Sony's strategy to shift towards a more asset-light business model, focusing its attention on intellectual property rights, such as music distribution rights, as well as film and video game franchises. The company's image sensors have been widely used in products made by Apple, Huawei, and Samsung.
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- Sony, TSMC to invest US$6.4bil in joint chip plant in Japan freemalaysiatoday.com
