Sony is increasing its potential camera production capacity, by acquiring Toshiba’s imaging sensor business. Announced earlier today and at a price of 19 billion yen ($155 million), the agreement will involve the transfer of Toshiba-owned assets associated with semiconductor fabrication, including facilities and equipment, to Sony, with the transaction expected to be completed within the fiscal year ending March next year, after regulatory approval.
The terms of the deal primarily involve Toshiba’s 300mm wafer production line located at its Oita operations facility in Japan. Toshiba employees and its affiliates employed on the line and at the facility are expected to transfer over in the deal, as well as “certain employees” working in CMOS image sensor engineering and design, with approximately 1,100 staff expected to cross over.
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Sony and subsidiary Sony Semiconductor Corporation claim the facility will be used as fabrication for CMOS image sensors, effectively a continuation of business. Though Sony does sell its own cameras, and use its own imaging sensors in smartphones, it also produces a lot of imaging sensors used by other device producers, including Xiaomi and Apple. Increasing its capacity to produce image sensors could help it bring in more orders for camera modules, both from new customers and from existing clients.
The sale will help Toshiba’s finances, as it is currently attempting to restructure itself in the wake of a $1.2 billion accounting scandal.
