Taiwan Semiconductor Manufacturing Co (TSMC) and Sony Semiconductor Solutions announced on Friday that they plan to create a new joint venture in Japan. This new company will focus on developing and manufacturing the next generation of image sensors.
This venture will bring together Sony’s expertise in designing sensors with TSMC’s strengths in manufacturing and process technology. This move deepens the long-standing partnership between the two companies. Sony will own the majority of this new company. The joint venture will set up its development and production lines in Sony’s new factory in Koshi City, located in Japan’s Kumamoto region.
The companies stated that they have signed a non-binding agreement and are discussing potential investments by the joint venture. This is all subject to a final agreement and the usual closing conditions.
The companies added in their statements that these investments, along with new capital spending by Sony at its existing plant in Nagasaki, would be rolled out gradually based on market demand. This plan also relies on support from the Japanese government. The partnership will also look into opportunities for “physical artificial intelligence” applications, such as those used in cars and robots.
Sony has previously said it is open to bringing in outside investment partners for its chip business, as it stresses the importance of investing in manufacturing. Both companies already have another joint venture called Japan Advanced Semiconductor Manufacturing (JASM), which they set up in 2021. TSMC owns the majority of JASM, and its first factory in Japan started large-scale production in late 2024.
