Sony Tipped To Be Off loading Hardware Assets As They Become An Entertainment Giant

Sony Group who appears to have renewed their interest in competing in the TV market is set to start offloading assets according to sources among them is their struggling semiconductor business. Currently their semiconductor business is responsible for manufacturing the camera sensors found in a large percentage of mobile phones and in their PlayStation consoles and SLR cameras. According to sources Sony’s Japanese management are more interested in a future driven by entertainment spanning the creation of content and the sale of content as opposed to having to deal with retailers and manufacturers.

The move comes as consumers gobble up more content than ever before with Sony who own Hollywood studios and the rights to billions of dollars’ worth of artist’s content. Currently Sony owns a vast amount of music content through its various divisions, including Sony Music Entertainment, Sony Music Publishing. Sony A1 II The SME Group also owns several record labels including Columbia Records, RCA Records, and Epic Records.



on the other side of their entertainment business Sony Music Publishing is the world’s largest music publisher, with a library of over 5 million songs, including hits by artists like Beyoncé and The Beatles. The spinoff and listing of Sony Semiconductor Solutions is tipped to happen mid-2025. If this happens Sony is considering distributing the bulk of its holding in the chip business to shareholders, and may retain a minority holding after the spinoff, according to Bloomberg insiders.

Sony, which is also planning to spin off its financial arm. Operating profit margins from their consumer division are down while Sony’s imaging and sensing solutions business has been steadily declining from about 25% to a little over 10% over the years. On the upside Sony’s gaming and music segments have led profit growth in recent quarters, with operating income growing by 37% in games and 28% in music in the December quarter.

Currently Sony’s image sensors are used in the Companies cameras as well inside Apple iPhones and tablets. Growth at the unit has stalled due to sluggish global smartphone demand — with US tariffs further weighing on the sector’s outlook. Sony’s semiconductor business also faces declining margins, higher costs and new competition from Chinese chipmakers who are catching up.

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