Sony Closing Factory Working on PlayStation Chips; Boosting CMOS Sensors Production

Sony announced with a press release that the company is going to discontinue all operations at the Sony Semiconductor Oita Technology Center (A.K.A. Oita TEC), based in Kunisaki, in the Oita Prefecture.

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JMaine5181142d ago

This is a factory where they worked on PS3 chips. With the decline in demand for ps3s there is no need for this factory.

Hoffmann1142d ago ShowReplies(3)
Gamer19821142d ago (Edited 1142d ago )

Indeed Sonys selling off all there old stuff left right and centre right now and finally looking like they can become a profitable company in a couple of years which only means great things to come for PS4 owners! I mean with them losing billions we got great games like last of use, uncharted and GT.. Imagine what it would be like with a balance in the black and more spent on exclusive titles??

Tapani1142d ago (Edited 1142d ago )

Well said!

Kaz Hirai is one hell of a CEO. Respect for the dude. He is trimming the company so that Sony can become the Playstation Company! :)

joefrost001142d ago

You sony guys are really delusional
They are doing this cause there investors decline Sony's request to delay their investor's call
So now they are selling things left and right to make their balance sheet look ok
Even one of the investor himself said this is a good first step but sony has a lot more work to do and more harder decisions to make in the not so distant future

donthate1142d ago


If a healthy company sheds assets, I think it is a testament to their stability and willingness to get rid of non-profitable businesses.

On the other hand, a failing business selling and closing things left and right, from game studios (SOE) to closing this plant, I don't see a bright future.

By the time Sony is finish, all that is left are music, movies, cameras and playstation, because their mobile division is under performing as well and is soon on the chopping block.

GameNameFame1142d ago (Edited 1142d ago )


You do realize Sony told investors that company's now main focus is PS4 and they will invest ton on PS4. and sell off other departments.

Then their shares went up.

Over year shares went from 16 to 25 dollars. Meaning whopping 56% increase over a year.

So please. You are the one being delusional.


yup 56% stock increase. lol. Its called core competency btw. Lean companies always do best.

Sony said to investors that they will invest on PS4 heavy. Sorry if that made some fanboys jealous.

kneon1142d ago


You don't know what you're talking about.

It doesn't matter what they do now, whenever they do finally file their financial report it will still only cover last quarter, anything that happens now will be reflected in the next quarterly report.

decrypt1141d ago (Edited 1141d ago )

Sony fans are in denial as usual.

Sonys literally failed in just about every division you can think of:

DVD Players,
Cam corders,
MP3 Players,

They have lost about every division you can think of. If people really believe an elephant like Sony can stand on playstation alone they are delusional.

I would stay far far away from investing in a Playstation console or its games as Sonys future remains uncertain.

susanto12281141d ago

Was reading an article on USATODAY yesterday about Sony expecting to lose around 1.4 billion dollars this fiscal year my guess is they figured out this number by looking at past sales of PS3's comparing them to PS4's and adjusting the numbers based on what they are selling right when you say a couple of years you are wrong my friend you can't make up a loss of 1.4 billion per year in 2 years......Did I miss the next big thing Sony was coming out with? Because as far as I'm concerned the PS4 is the only thing making Sony money right now.

Sony TV < Samsung TV
Sony Laptop< any laptop
Sony music players< Apple products

sony failed to they are paying the price

+ Show (4) more repliesLast reply 1141d ago
Death1142d ago

It's a little more involved than a decline in demand for PS3's. Oita TEC was Sony's development and production site for their high density semiconductors. The original plan was for more applications than game consoles. Most of these plans were scrapped when their modified Risc based Cell failed to take off. Cell productions was ceased by Sony and they started buying Cell processors years ago. With the PS4 Sony is buying off the shelf so the need to develop these chips internally is gone. The plant is being shut down as Sony moves away from custom game console creation and the focus on imaging devices increases. A look at Sony's past financials shows that imaging solutions are much more profitable for Sony than gaming so this is not much of a surprise. PS3 components will still be available since manufacturing will be moved to other plants. This closure has no impact on existing gaming, but it has become quite clear Sony has no interest in creating custom chips for future consoles. This is a move they should have done prior to the PS3's release and will help make the company more profitable in the future.

dolphin_supreme1142d ago

im gonna waste a bubble and say well-said

SolidStoner1142d ago

¨whats about those bubbles? I dont even see them (I doo see them) :D but I dont!.. what do they do? if you vote up or down you lose your bubbles? I dont get it :D whats the point? :)

BG115791142d ago

This is rare. I'm agreeing with Death.

miyamoto1142d ago

Okay, we will all have to get a back up 500GB PS3 then.

Tapani1142d ago (Edited 1142d ago )

You too, well said!

Just don't come knocking on my door, sir!

+ Show (4) more repliesLast reply 1142d ago
dolphin_supreme1142d ago

lol to the disagrees. you're literally quoting the article. some people..

ContinuePlay1142d ago

I highly disagree. PS4 isn't compatible with PS3, so ceasing production so soon into the PS4s lifecycle, and with the PS3, particularly older models, proving more than a little unreliable and prone to overheating, this will lead to huge decline in the availability of replacement consoles, not to mention make it more difficult than ever to ensure you're still able to play games.

They really should release a special SKU of the PS4 with the PS3 chipset inside for backwards-compatibility. Emulation just won't cut it, as the notoriously tricky architecture of the cell processor means it will be pretty difficult to emulate games, meaning we'll probably end up with even more remasters on current systems.

johndoe112111142d ago

Do you actually read the things you write before you hit "Add reply"? Or are you just contented with pulling "facts" and info out of your a-hole?

Joda1142d ago

They're killing ps3 so u gotta subscribe to ps now. Bunch of thieves.

Team_Litt1142d ago Show
TWB1142d ago

1: demand is still relatively high for the PS3.

2: according to Sony, PS Now uses "serverized" PS3 hardware (essentialy 10 of these models form one server machine) so I dont really see them slowing down the manufacturing too much.

Eonjay1142d ago

With the move to PS4 and the introduction of PSNow, I really saw this coming. Software will keep coming and I'm sure we will even see Fifa 2020 on PS3, but the hardware production is winding down.

xx4xx1142d ago

"With the decline in demand for ps3s there is no need for this factory"

Hardly. That makes no sense whatsoever.

Factories are updated with new capital assets to produce new products. You don't close down factories every time you launch a new product.

If that's what Sony's production plan is, no wonder they are bleeding billions.

They closed down this factory because they need money. Same reason why they just sold SOE in the same week.

To read the comments that this is a good sign for Sony is pure delusional fanboyism.
Sure it's the right move to make, but it's also one made out of desperation.

+ Show (6) more repliesLast reply 1141d ago
MrSwankSinatra1142d ago

People better get a PS3 while they can, because this is is the starting point of PS3's discontinuation

Farsendor11142d ago

i'm not sure why you got a disagree ps3 is getting close to the 10 year mark.

Perjoss1142d ago

You can very easily still get PS2 and PS1 on ebay, no problem at all.

Thehyph1142d ago

Perjoss speaks the truth. I just bought a PS1 1001 model on eBay 10 minutes ago.

Muzikguy1142d ago

That's true yes but those are consoles that have already been made. Those no need for a factory to make those systems anymore. Not to mention there will be a mark up initially

CloudRap1142d ago

Why? PS4 is way better. Best we bury the third one and forget about it.

MrSwankSinatra1142d ago (Edited 1142d ago )

It's not a matter of why. My comment is strictly for the people that have intentions of getting a PS3 for games that can't be played anywhere else.

ContinuePlay1142d ago

Seriously? PS3 had tons of amazing exclusives. Uncharted, Demons' Souls, the slightly-less-than-amazing Heavy Rain and Beyond Two Souls, the Tales of games, LBP 1 and 2, Wipeout, Motorstorm...

You might find it easy to relegate those to the dustbin of history, but I won't - nor do I think we should. Games deserve to be preserved and remembered, not left in the pages of the history books.

JackVagina1142d ago

Its a shame that it still hasnt reached 199$ price point

Sevir1142d ago

It'll likely stay that way, Nvidia is the reason why it's not sub $200.

TWB1142d ago

Not really exactly the same but I see PS3 super slims for 199€ in pretty much every market around here, sometimes in sale going as low as 169€

Many times (in gaming world) 1$ = 1€ so I though it would be relevant to the discussion.

Ulf1142d ago (Edited 1142d ago )

It will never reach $200 (until it's discontinued, and on closeout), for the same reason Sony wants to shy away from custom hardware.

AudioEppa1142d ago

As it should be. Time move on with PS4.

Death1142d ago

This closure has no impact on PS3 production. Production for the chips used in the PS3 will be done at other existing plants. Tooling and employees will be transferred to other plants, but some of these employees will be moved to imaging production. This is the closure of a specific property to reduce expenses, not the elimination of PS3 production.

Rimeskeem1142d ago

Got an original 60GB PS3 that still works!

ChristopherJack1142d ago

Yeah but the games themselves will continue on thanks to the power of the cloud!

rainslacker1142d ago

Yeah, probably only have a short 4-5 years before they stop selling them new. making them. Sony said this themselves last year when they said that some of the chips in the system would no longer be available.

In the mean time, one factory closing doesn't mean that production couldn't be done elsewhere. The PS2 chips ceased production years before they finally discontinued the product officially.

JasonKCK1142d ago

What's weird to me is the switch in strategies between MS and Sony. Sony supported the PS2 for years after the PS3 was released, but now are backing off PS3 for the PS4. MS stopped supporting the Xbox for the 360, but are continuing to support the 360 while supporting X1.

+ Show (6) more repliesLast reply 1142d ago
d_g1142d ago ShowReplies(2)
polow got sol1142d ago ShowReplies(3)
plmkoh1142d ago

Sony boosting CMOS sensor production is a no brainer, they already hold about 50% of the market and there's the rumored joint-venture with Canon to produce 50 megapixel Fullframe sensors. I wouldn't be surprised if Sony ends up with 60% of the CMOS market in 5 years time.

joeorc1142d ago (Edited 1142d ago )

Yeppers and also Sony is the leader in 3D stacked TSV CMOS sensors like the ones Apple and Samsung use..and yeah the cannon co op deal is also on the table. Sony is the go to company for other's company's needs for 3D stacked TSV camera cmos sensors

SniperControl1142d ago (Edited 1142d ago )

I just got the Sony HX300 bridge DSLR with the 20.4mp CMOS censor for use in astrophotography, wow, the picture quality is stunning, infact the camera is stunning.