Sony mulls spin-off of chip business, says report
Japan’s Sony Group Corp. is considering the spin off its semiconductor unit, Sony Semiconductor Solutions Corp., according to Bloomberg report.
Sony Semiconductor is best known as the global market leader in image sensors.
The majority of Sony’s revenue comes from entertainment products, such as games, music and movies. It has a substantial entertainment technology business – the PlayStation 5 is the latest iteration of its gaming platform. Sony image sensors are used in smartphone models from Apple and others but the margin Sony achieves on those products has suffered along with that market in recent years.
Sony is considering distributing the majority of its holding in Sony Semiconductor Solutions Corp. to its shareholders as it provides the subsidiary with a separate stock listing. The move could happen before the end of 2025, the report said referencing unnamed sources.
Besides image sensors Sony Semiconductors provides mixed-signal chips related to imaging and display, microdisplays, single-board computers and a MEMS foundry service. It remains unclear whether Sony would dispose of the whole of the chip business or just the less profitable parts.
Sony’s financial year ended on March 31 and the company is due to provide a corporate strategy update and earnings announcement on May 14. In the first nine months of the 2024 financial year Sony Group made a net income of 944 billion yen (about US$6.61 billion) on revenue of 10.3 trillion yen (about US$72.4 billion).
Related links and articles:
News articles:
CMOS image sensors: Sony heads towards 50 percent market share
US$70 AI camera from Sony suits Raspberry Pi
Sony harvests electromagnetic ‘noise’ and offers milliwatts
If you enjoyed this article, you will like the following ones: don't miss them by subscribing to :
