Sony slashes chip spend on next gen Cell

MASSIVE JAPANESE combine Sony has cut its capex on chip spending over the next three years, according to a report on nikkei.net.

The report said it has decided to can big investments developing future versions of its co-developed Cell microprocessor, and even outsource production of the 45 nanometre chip.

Nikkei reckons that it has allocated ¥500 billion for producing chips up until financial year 2009, but it's unclear what effect such a decision will have on its relationship with its partners in the Cell - Toshiba and IBM.

The report claims that Sony will switch its focus to making CMOS sensors for digicams and consumer devices. µ

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