Sony Considers Opening Factory To Overcome Chip Crisis

Sony: Reuters news agency reported Monday (8) that the Sony group is evaluating the construction of a semiconductor chip factory in Japan. It would be built in cooperation with Taiwan Semiconductor Manufacturing Company (TSMC) and would like to supply this part to others Sony factories in the country.

The Japanese conglomerate needs the semiconductor chips not only for its PlayStation 5 consoles (which keep disappearing from stocks around the world…), but also for its TVs, cameras, stereos and other products – in addition to being able to supply the chips to other customers. TSMC is one of the largest suppliers of these parts to Apple, which has already scaled back production of MacBooks this year due to its lack.

In short: it is not easy for anyone and it is good to join forces. Even the government of Japan will join the partnership, with investments of up to 800 billion yen ($7.1 billion or about 39 billion reais).

The chips are coming, but it will take a while

The lack of semiconductor chips is causing a massive crisis in various industries around the world. Sony says it has enough parts to keep producing the PS5 within this year’s targets, but Toshiba famously “not quite used it”: It said the crisis wouldn’t end until the second half of 2022 and console manufacturers will not be able to normalize their production until next year.

So if you have a PS5 in stock, run. And so is the Xbox, as Microsoft won’t get through the semiconductor crisis unscathed. In fact, the Xbox boss said this isn’t even the only issue affecting retail console inventories… In other words, just run if you want a new console.

For TSMC, there’s even more at stake: China and Taiwan have had huge political bullshit for decades (which, by the way, would yield a lot on our partner site Mega Curioso) and kissuco looks like it could boil over quickly between the two. In this scenario, a factory outside the conflict zone, in Japan, would be an additional security for the company.

For the Japanese government, the biggest concern is the car factories, which are opening and closing all the time due to the semiconductor crisis – wreaking havoc on the country. The problem is that Sony and TSMC’s factory is expected to open in 2024. By then, the crisis will likely be over and Taiwan will have been annexed by the People’s Republic of China. But with their factory in Japan, at least everyone is on the safe side.

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