Sony Group Corp and Taiwan Semiconductor Manufacturing Co (TSMC) are in discussions to allocate approximately ¥1 trillion (US$6.4 billion) to their upcoming jointly operated semiconductor facility in Japan, according to an individual with knowledge of the project. Production at the site, aimed at advancing image sensor technology for automotive and robotics applications, is scheduled to commence in 2029.
Sony Semiconductor Solutions Corp, Sony’s chip division, and TSMC have entered into a partnership focused on developing next-generation image sensors, which are integral to a variety of technologies including robotics and connected vehicles. The new manufacturing facility, to be located in Kumamoto prefecture in southern Japan, builds on TSMC’s current presence in the region where it already operates a chip fabrication plant.
A joint venture structure is planned, with Sony holding a majority 60% stake and TSMC controlling the remaining 40%.
This proposed investment marks a continuation of Sony’s shift toward a lighter asset model within its image sensor operations. The company has increasingly prioritized its intellectual property portfolio, focusing on areas such as music rights, film, and video games.
Sony is recognized globally as a leading supplier of image sensors, serving customers including Apple, Huawei, and Samsung. Its recent strategic efforts have included broadening the use of its sensor technology for cars and robotics.
News of the planned investment coincided with stock gains for both companies: Sony’s shares climbed up to 2.15%, while TSMC saw an increase of 1.7% during Monday morning trading.
Both Sony and TSMC previously announced their intent to collaborate on the development and manufacturing of advanced image sensors, combining Sony’s expertise in sensor design with TSMC’s strengths in chip manufacturing and process technology. Their partnership also includes exploration of applications in artificial intelligence for automotive and robotics sectors.
