Toshiba To Sell Its Image Sensor Business To Sony


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The past two weeks have been a flurry of activity. WD bought Sandisk, Dell acquired EMC and now joining the fray is Sony and Toshiba. According to recent news, Toshiba is gearing up to sell its image sensor business to Sony for around $164 million. Why? Well it’s apparently part of Toshiba’s restructuring plan that was initialized in early 2015.

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Toshiba has a rather diverse lineup, ranging from laptops to nuclear power, is undergoing said restructuring after they discovered that they have overstated their earning by earnings by $1.3 billion reverting to fiscal 2008/09.

The Image sensor division of Toshiba is responsible for making hardware used in digital cameras and smartphones which are part of Toshiba’s system LSI semiconductor business. With the sellout, Toshiba plans will do away with the division, selling its image sensor manufacturing plant in Oita, southern Japan.

That being said though, Toshiba is considering other paths for its system LSI semiconductor business and its discrete semiconductor business with discussions still taking place.

Following Toshiba’s accounting hiccup, Masashi Muromachi, Toshiba’s CEO has declared a solemn promise to restructure lower-margin businesses. As such, the restructuring would begin with the deal for the image sensor business.

Sony is no stranger to the image sensor market. They are already a formidable force with their products used in phones made by China’s Xiaomi and India’s Micromax Informatix.


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