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Sony begins funding TSMC’s Japanese chip plant

  • January 26, 2022
  • , Nikkei Asia , 1:03 a.m.
  • English Press

MASAHARU BAN, Nikkei staff writer


TOKYO — Sony Group said Tuesday that it has completed the initial funding of Taiwan Semiconductor Manufacturing Co.’s chipmaking subsidiary in Japan, a key milestone in their joint venture.


The investment went through group company Sony Semiconductor Solutions. The Japanese group plans to spend 57 billion yen ($500 million) over the next two years on the TSMC unit and retain a minority interest of less than 20%.


TSMC said in November that it will build its first Japanese chip plant in the western prefecture of Kumamoto as a joint venture with Sony. Capital investment is expected to total 800 billion yen, with operations due to start by the end of 2024.


The plant will produce logic semiconductors for the smartphone, automotive and other tech industries, with capacity projected to reach the equivalent of 45,000 300-mm wafers a month.


The Kumamoto factory will benefit from Japanese subsidies contained in the supplementary budget passed last month. The subsidies are tied to revised legislation taking effect in March that supports the construction of domestic chip plants. The government plans to seek 10-year production commitments from recipients.

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