Sony still plans on acquiring the Wii U DRAM factory

#1MushroomMuncherPosted 12/26/2013 5:46:04 PM
http://www.dualshockers.com/2013/12/25/details-emerge-on-sonys-acquisition-of-factory-producing-wii-us-dram-30-billion-yen-investment/

According to the newspaper Sony is now considering an acquisition plan that would require an initial purchase investment of seven billion yen (67 million dollars), but a further investment of 30 Billion Yen (287 million dollars) is being considered to convert production to CMOS sensors for smartphones. The company is expected to decide on the pro and cons of the acquisition by the end of January.

An acquisition would save the jobs of about 70% of the 1000 employees, excluding those working on semiconductors for automotive, as the factory was scheduled to close before Sonyís intervention.

Another very interesting detail is that the rather low final purchase price has been determined due to the fact that Renesas is planning to move part of the facilities and equipment of the Tsuruoka factory to its main plant at Naka, in the Ibaraki prefecture.

This opens multiple possible long run outcomes for Nintendo, that still hasnít announced official plans to relocate the production of Wii Uís embedded DRAM. If Sony converts only part of the production at Tsuruoka to CMOS sensors and retains the ability to produce the DRAM, Nintendo could very well acquire the chip from the rival. Itís not unprecedented and in the world of business itís an everyday occurrence.

If Renesas manages to restore production of the DRAM at Naka (which is very possible, as the crucial factor to its production was the specially tuned equipment located at Tsuruoka, and at least part of it could be moved to Naka), Nintendo could continue to receive stock from there, just changing the location of manufacturing.

On the other hand, if Sony fully converts the production of Tsuruoka to CMOS sensors and Renesas doesnít manage or intend to restore production of the DRAM at Naka (one of the factors behind the previously determined closure of Tsuruoka was low demand for the DRAM chips) Nintendo will have to find another supplier for the long run, while in-house stocks of the chip are expected to last at least for a while.


TL;DR if Sony buys the factory either Nintendo can work with them or are forced to move out.
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#2aluminafalconPosted 12/26/2013 5:48:39 PM
Nintendo switched factories months ago. That article is old.
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#3CranberryPSOPosted 12/26/2013 5:49:56 PM
One way or another, Nintendo will sort it out. Sony and Nintendo may very well find a mutually beneficial contract.
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Topics won: 3
#4MushroomMuncher(Topic Creator)Posted 12/26/2013 5:50:51 PM
aluminafalcon posted...
Nintendo switched factories months ago. That article is old.


This was posted yesterday.

This is an update to that article.
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Lmao Steam is such a joke. Seriously I'm not even gonna continue the bit... You're getting ripped off if you pay for digital copies on a computer.~Beatperson14
#5DiscostewSMPosted 12/26/2013 5:59:13 PM
MushroomMuncher posted...
aluminafalcon posted...
Nintendo switched factories months ago. That article is old.


This was posted yesterday.

This is an update to that article.


Even still, it is well known that Nintendo found a different supplier, so this won't exactly put Nintendo into a tight spot with Sony regarding the chips.
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