Chip company TSMN and Sony are planning to construct a semiconductor factory in western Japan, the Nikkei reported. The project is estimated at JPY 800 billion (USD 7 billion), with the Japanese government expected to provide up to half. The factory, scheduled to go into operation by 2024, would makes chips for camera image sensors, automobiles and other products.
Japanese auto parts maker Denso may also participate if the project goes through. The Toyota Motor group member needs a stable supply of chips for its auto parts.
Sony is also considering a minority stake in a new company that would manage the factory, located in Kumamoto Prefecture where Sony owns land, and near its image sensor factory, sources said.
TSMC and Sony declined to comment for this story.
