Sony has confirmed its intention to purchase Toshiba's image sensor business.
Last week a report emerged claiming that Toshiba had agreed to sell its image sensor business to Sony for 20 billion yen, or around £107.5 million.
Today, Sony has confirmed this report. The two companies have apparently entered into a non-binding agreement signifying their "intent to negotiate the transfer to Sony of certain Toshiba owned semiconductor fabrication facilities, equipment and related assets in Oita Prefecture, and also other related equipment and assets."
This will boost Sony's production capabilities in what has become one of its most lucrative markets. As well as providing for its own acclaimed cameras, Sony is already the foremost producer of images sensors for the smartphone market.
Indeed, it's been reported in the past that Sony makes $20 every for every iPhone 6 sold, thanks to Apple's ongoing use of the company's sensors.
There should be a legally binding agreement in place by the end of the year, while the transfer should be completed within the financial year ending March 2016.
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What hasn't been confirmed as yet is that 20 billion yen price tag, or any financial details for that matter.
Earlier in the month, Sony announced that it was splitting off its image sensor business into its own wholly-owned subsidiary. It's hoped that this will enable the business to better adapt to changing market conditions.
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