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  • Sony to cut chip spending for PlayStation

    Also plans to outsource more chip production

    By Dave Hannon -- Purchasing, 2/13/2007 4:18:00 PM

    Sony today said it will reduce the amount it spends on chips and outsource more of its chip production for the PlayStation 3.

    Sony Executive Deputy President Yutaka Nakagawa told reporters that investment in chips would come down significantly from the $3.8 billion it has spent since April 2004.

    "When we first offered the PS2, there were no semiconductor companies that were able to make chips for the machine, so we did it ourselves. But now, there are companies that specialize in chip production," Nakagawa said.

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