Sony cuts back on in-house Cell chip production |
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In order to improve profitability in its chip division and hit their target operating margin of 5 percent, Sony announced that it will cut back on future chip spending. This according to Reuters. The same report also suggests that the company may not continue in-house production of its Cell microchips.According to Reuters, Sony Executive Deputy President Yutaka Nakagawa told reporters that investment in chips would come down significantly from the 460 billion yen ($3.8 billion) allocated over the three business years since April 2004.
The climbing cost of increasingly heavy initial investments as costs for chip-making equipment is one of the reasons for the company's decision.
"When we first offered the PS2, there were no semiconductor companies that were able to make chips for the machine, so we did it ourselves. But now, there are companies that specialize in chip production," Nakagawa said.
Talking about Taiwan Semiconductor Manufacturing Co. Ltd. and United Microelectronics Corp. - the world's largest and second-largest contract chip makers - Nakagawa said, "They are aggressively investing in cutting-edge technology. Our basic understanding is that we probably won't need to do everything by ourselves for next-generation chips."
Via Reuters
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Comments
they will stop in-house production after they're done with the PS3. For the PS4 they may get someone else to make the cell chips, hence him saying "for next-generation chips". Yes the PS3 is current gen, finally some guy who doesn't think the PS3 is next gen
Actaully it is more likely that they will switch to outside manufacturers as they move to the 65nm process. You honestly think he's not talking about the PS3 even though you still believe he is talking about Cell? Get real.
The ps3 is next gen you homeless bum its the fact that they will keep updating the PS3 console but the only thing i dont understand is should i have waited to buy the ps3 till they get the next chips in it or get the ps3 now while it has the original cell in it.. im stummped
read the article more carefully, whilst QJ mentions the cell chip specifically...he only mentions "chips" as a whole
You can buy it in Japan + USA so it is current generation there. If you live in Europe then fine. When exactly will you class it as current gen?
I didn't mean to write "cell chips" in my 1st post. I don't know what processor chip the PS4 will use but I bet it will have several cores.
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