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The following information is true and accurate at the time of publication.
February 2, 2004



Sony Group Executes Investment of
120 Billion Yen in Semiconductor Fabrication
Second Phase Investment by Sony to Establish Mass
Production Line of 65 nanometer Process
TOKYO, JAPAN, February 2, 2004
- Sony Corporation (Sony) and Sony Computer Entertainment
Inc. (SCEI) (together referred to as Sony Group hereinafter)
announced today that following the 73 billion yen investment
made in the fiscal year 2003 (ending March 2004), they would
make a second phase investment of a total of approximately
120 billion yen to establish semiconductor mass production
lines to build chips with 65 nanometer process.
Sony Group positions semiconductor as one of the most important
technologies that would define and add values to the products.
This investment for the 65 nanometer process fabrication
line will be conducted as part of the previously announced
200 billion yen semiconductor investment (over three years
starting from fiscal year 2003: announced on April 21, 2003)
that will contribute to the manufacturing of the new microprocessor
for the broadband-era, codenamed "Cell", as well
as various media processors to be used for a wide array
of Sony Group's next generation digital consumer electronics
(CE) products and next generation computer entertainment
system.
The second phase investment of approximately 120 billion
yen will be used to further enhance the fabrication lines
with 65 nanometer process on 300 mm wafers. The investment
will be made by Sony Group to three fabrication facilities;
SCEI's Fab2, a semiconductor fabrication facility in Isahaya
City, Nagasaki Prefecture, IBM Corporation's (IBM) East
Fishkill Fab, in New York, United States, and Toshiba Corporation's
(Toshiba) newly built Oita Factory, located in Oita Prefecture.
Of the 120 billion yen, approximately 53 billion yen will
be used to reinforce the fabrication line located in the
clean room on the first floor in SCEI's Fab2, for the manufacturing
of 65 nanometer generation high-performance LSIs such as
"Cell", using SOI process technology.
Approximately 36 billion yen will be invested in IBM's East
Fishkill Fab, which will likewise manufacture 65 nanometer
processors using SOI process technology. As for the investment
to Toshiba, combined with the investment executed in the
fiscal year 2003, a total of approximately 42 billion yen
(second phase investment: approximately 31 billion yen)
will be invested by Sony Group to build a 65 nanometer semiconductor
facility using DRAM CMOS technology. At the same time, Toshiba
will make the same amount of investment to their newly built
Oita Factory.
Pilot production at each fabrication facility is expected
to start in the first half of the fiscal year 2005, with
planned production capacity of 15000 wafers/month in total.
Sony Group works closely with Toshiba and IBM to actively
pursue the development of the next generation microprocessor
and the most advanced semiconductor process technology to
drive the coming broadband era. The execution of the investment
enables the Group to verify the process technology development
results under an environment equivalent to mass production
so that it could establish effective mass production systems
and smoothly start up the operation once the system LSI
design is completed.
Sony Group will continue to actively conduct research and
development of the cutting-edge semiconductors applied for
various digital CE products including CCD imaging devices
and to develop high performance and easy to use products.
About Sony
About Sony Corporation
Sony Corporation is a leading manufacturer of audio, video,
game, communications, key device and information technology
products for the consumer and professional markets. With
its music, pictures, computer entertainment and on-line
businesses, Sony is uniquely positioned to be the leading
personal broadband entertainment company in the world. Sony
recorded consolidated annual sales of approximately $62
billion for the fiscal year ended March 31, 2003.
Sony Global Web Site: http://www.sony.net/
About Sony Computer Entertainment Inc.
Recognized as the global leader and company responsible
for the progression of consumer-based computer entertainment,
Sony Computer Entertainment Inc. (SCEI) manufacturers, distributes
and markets the PlayStation® game console and PlayStation®2
computer entertainment system. PlayStation has revolutionized
home entertainment by introducing advanced 3D graphic processing,
and PlayStation 2 further enhances the PlayStation legacy
as the core of home networked entertainment. SCEI, along
with its subsidiary divisions Sony Computer Entertainment
America Inc., Sony Computer Entertainment Europe Ltd., and
Sony Computer Entertainment Korea Inc. develops, publishes,
markets and distributes software, and manages the third
party licensing programs for these two platforms in the
respective markets worldwide. Headquartered in Tokyo, Japan,
Sony Computer Entertainment Inc. is an independent business
unit of the Sony Group.
PlayStation and the PlayStation logo, PS
one and PS2 are registered trademarks of Sony Computer Entertainment
Inc. All other trademarks are property of their respective
owners.
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