JAKARTA - The Japanese government is preparing subsidies of up to 60 billion yen or around US$376 million for Sony Group Corp. units to support the mass production of advanced image sensors. According to Kyodo News quoted on Friday, April 17, this step was taken to maintain supply stability amid the continued increase in global demand.
The subsidy will be given to Sony Semiconductor Manufacturing Corp. As reported by Kyodo News, the company is expected to start production at a new factory under construction in Kumamoto Prefecture, southwest Japan.
Japanese Industry Minister Ryosei Akazawa said the government hopes the move will help ensure the supply of image sensors remains stable. He called image sensors a key device in the era of artificial intelligence.
The image sensor is a component that converts light into an electrical signal for image processing. This component is widely used in smartphones and automotive cameras.
Demand for image sensors continues to increase as the use of artificial intelligence-based technology expands and vehicle technology develops. This condition makes Japan encourage the strengthening of supplies for components that are considered increasingly strategic.
Prime Minister Sanae Takaichi is pushing for greater investment in sectors critical to Japan's economic security. The subsidy for the Sony unit was granted under a law promoting Japan's economic security.
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