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Sony/Toshiba Chip Sale Confirmed News
Gwynne Dixon
18/10/2007

Following many rumours, Sony's sale of Cell processor assets to Toshiba has finally been confirmed...
As expected, the Sony corporation has agreed with Toshiba to sell off 60% of its production facilities for the Cell processor chip at the heart of the PlayStation 3, according to reports from Bloomberg. However, Sony's remaining 40% stake will ensure a ready supply of Cell processor chips.
The sale of a majority stake in these facilities to Toshiba will reportedly bring in £421 million for Sony, which the electronics giant is likely to invest in their consumer electronics division. This is part of a larger restructuring plan for Sony due to it being unprofitable last fiscal year.
A significant contributor to these losses was the costs related to the development of the Cell processor. The chip, which was developed as a joint venture between Sony, IBM and Toshiba, cost more than £83 million to develop.







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