Sony buys back Toshiba's Cell manufacturing plant from Toshiba

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Gannu

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Original article (link) reads -

Major electronics manufacturers, "Toshiba", withdrew from the production of high-performance semiconductors for game consoles with expected growth in demand did not, Nagasaki Prefecture, production facilities currently owned by "Sonny" in the direction of negotiations to sell became clear that progress.

Toshiba plant in Isahaya City, Nagasaki Prefecture, home video game console "PlayStation 3" has been producing high-performance semiconductors for. This semiconductor, Toshiba and Sony originally at IBM were jointly developed with its high capacity of information, the temporary "Semiconductor Dream", also known as, two years ago, 90 billion yen about production equipment from Sony and Toshiba was acquired. But According to officials, as expected the semiconductor and consumer electronics to the use of non-game machine that did not enlarge, from the production of the semiconductor Toshiba decided to withdraw the Sony production equipment is that in the direction of negotiating the sale. Meanwhile, Sony is ample production equipment bought back, the switch to the production of semiconductors for digital cameras and smart phones are rapidly growing demand for high quality, and enhancement of systems to be spent on domestic production is expected to close both sides reach an agreement.
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Reuters said:
Sony Corp plans to buy back a Nagasaki semiconductor plant from Toshiba Corp for about 50 billion yen ($597.2 million) to double output capacity for image sensors used in smartphones and other devices, the Nikkei business daily reported.

Sony will buy the facility, which it sold to Toshiba in 2008, to strengthen its complementary metal-oxide semiconductor (CMOS) sensor business, the daily said.

Acquiring the plant will double Sony's image sensor output capacity to the equivalent of about 40,000 silicon wafers a month, the daily said.

By boosting output and lowering production costs, Sony aims to catch up with such firms as South Korea's Samsung Electronics Co and U.S. players in the CMOS sensor market, Nikkei said.
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Quite apprehensive about this move! I mean Sony is still facing a loss with the sale of the newer slim PS3s having priced the console less than the production cost and then comes this move. The only recovery was through the sales of games and royalties.
 
PS3 Console is profiting. Recently Hirai said, about PSN not profitable yet, but looking +ve the coming fiscal year :)

Also there's a solid indication that next year, by E3 another price drop is expected :clap:
 
Desecrator said:
^Another price cut? :O
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Yup!

Its been almost a year since $299/- price cut was announced and since it has turned profitable, We can expect Sony to pass it on soon by next mid year or by October ;)
 
^But why? The present pricing is sweet comparing the new X360 S retails for as much. Wouldn't they lose further with the price cuts? IDK but I feel another price cut is not happening until MS comes up with a price cuts for the X360 S. :no:

Well this move could possibly mean they are concentrating on producing those Si wafers for other chips not relating to Cell alone. I want the hardware upgrade option or the PS 3.5 to come up ASAP.
 
Even if a price drop occurs, it will be a 50$ drop for both the 299 and 399 variants and an hdd space increase, cause i don't think sony would want to sell their ps3's at a same price with the wii :P
 
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