Sony and TSMC Could Be Building a Semiconductor Factory in Japan

Sony could partnering with Taiwan chip manufacturer TSMC to build a new semicondutor factor in Japan

The news comes from Reuters (thanks Eurogamer), who reported Nikkei Asian recently claimed both companies are interested in the venture and may have support from the Japanese government. Nikkei reported the government is potentially willing to pay invest up to 800 billion yen ($7.15 billion) in the project.

The alleged partnership could help bolster chip supplies for automobiles, game consoles, and other electronic devices, a supply heavily affected by the ongoing COVID-19 pandemic.

Read More: PS5 and Xbox Series X/S Chip Shortages May Ease In Second Half of 2022, Says AMD Boss

Sony and TSMC Could Be Building a Semiconductor Factory in Japan

However, Nikkei speculated there is another reason for building a factory outside Taiwan

Nikkei said TSMC wants to broaden its manufacturing base outside Taiwan in the face of growing concerns about Chinese influence in the industry.

Whatever the case, we likely shouldn't expect an end to console or chip shortages any time soon. Xbox's Phil Spencer recently said he suspects shortages will last into 2022, while Toshiba's executives believe it could last into 2023.