Sony to Build New Chip Plant in Southwestern Japan

Economy

Tokyo, Dec. 16 (Jiji Press)--Sony Group Corp. <6758> plans to build a new semiconductor plant in Kumamoto Prefecture, southwestern Japan, it was learned Friday.

The Japanese electronics giant is hoping to beef up its supply system for image sensors, eyeing a rise in demand for use in high-tech smartphones as well as in automotive equipment reflecting the spread of autonomous driving technologies, sources familiar with the matter said. The company is expected to invest hundreds of billions of yen in the new plant, the sources said.

Sony has the top global market share for image sensors, used in smartphone cameras and other devices. The plant, to be located in the city of Koshi, is expected to become operational in as early as 2025, manufacturing complementary metal-oxide-semiconductor, or CMOS, image sensors, the sources said.

The company already has an image sensor plant in the Kumamoto town of Kikuyo, next to Koshi.

A joint semiconductor plant currently being built in Kikuyo by Sony, Taiwan Semiconductor Manufacturing Co., the world's leading chip foundry, and Japanese auto parts maker Denso Corp. <6902> is seen going on stream in late 2024.

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