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TSMC and Sony want to help end the shortage of chips

A global shortage of chips could soon create some unexpected allies in Japan. Reuters , cited in the post Nikki Sony and TSMC are considering setting up a semiconductor plant in Kumamoto Prefecture in western Japan. TSMC will have majority control but will be located near Sony’s own image sensor factory. The Japanese government is expected to cover up to half of the investment, and the total will be about $7 billion.

It is estimated that if all goes as planned, the plant will be ready in two years, but the two brands decline to comment on this and this expectation. However, this news comes in the direction of the efforts that must be made to try to circumvent the microprocessor crisis that is currently affecting several areas, specifically in the technology sector.

Sony itself is affected because many of the brand’s products use chips. However, Sony Interactive Entertainment recently stated that it had purchased enough chips for the PS5 to meet its sales target for the current fiscal year.

TSMC, the world’s largest chip maker and major supplier to Apple Inc (AAPL.O), said in July it was studying a plan to start production in Japan.

The vast majority of analysts estimate that the global shortage of chips will continue until 2023, and the possibility of this partnership between Sony and TSMC may be important to solve this problem.

Taking into account the current situation, major companies such as Nokia, IBM and TSMC have already announced that the climate of great tension between the United States and China is contributing to the shortage of chips. Given its current situation, Japan is in a better position to overcome this difficulty and begin to increase domestic production of chips.

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Source: Reuters