Monday, 9 April 2007

Sony to Abandon Chip-development Triad

Sony has decided to scrap the development of advanced microchips with NEC Electronics and Toshiba. In February 2006, Sony, Toshiba and NEC Electronics had inked an agreement to co-develop technologies to make system chips with a width of 45 nanometres.

Sony’s contract with NEC Electronics expired in March, and it does not want to renew the contract with NEC and Toshiba.

According to Sony’s Executive Deputy President Yutaka Nakagawa, the move is to drive the semiconductor unit's earnings recovery.

Officials at Toshiba and NEC Electronics did not comment on the proceedings.