Reports emerged earlier this year that Sony was acquiring Toshiba's image sensor business. The reports have been confirmed now. Sony has acquired Toshiba's image sensor business for 19 billion yen calculated to be $155 million.
The acquisition sees Toshiba handing over the semiconductor fabrication facilities, equipment and as well as a 300mn wafer production line to Sony. The facilities will now be a subsidy that is wholly operated by Sony. This will come under Sony Semiconductor Corporation, which will be involved in the production of image sensors. The agreement between Sony and Toshiba sees the transfer of 1100 employees at Oita operations facility, which will be handed over to Sony.
Sony is the largest sensor developer for both the smart phone and high-end camera markets as several leading Mobile brands like Apple, Google, Xiaomi do not use their own sensors but the sensors developed by other companies. Toshiba will focus on products that have the advantage of high-end technology. This will also make the make the company a more profitable venture.
The transfer will end before Fiscal year ending March 2016.