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Sony is shedding the battery division it started in 1975

By Shawn Knight
Jul 28, 2016
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  1. Sony has been shedding elements of its core business at a steady pace in an effort to return to profitability. On Thursday, the Japanese electronics giant announced intentions to part ways with yet another major division.

    Murata Manufacturing Co. has entered into a non-binding memorandum of understanding (a fancy term for an agreement that isn’t legally-binding) with Sony to purchase its battery business. In a mutual press release issued earlier today, Murata said it still needs to perform due diligence and negotiate terms and conditions of the deal.

    That said, the deal is expected to include the battery business conducted by Sony Energy Devices Corporation, a wholly-owned subsidiary of Sony’s in Japan, the company’s battery-related manufacturing operations in Singapore and China plus assets and personnel assigned to the battery business within Sony’s sales and R&D sites around the globe.

    As Engadget highlights, Sony started its battery business in 1975 and was the first company to commercialize lithium-ion batteries in 1991. The battery arm has served Sony well over the years yet as of late, it’s been a drain. Last year, it cost the company $270 million.

    Murata said it intends to position the battery business as a core operation within its energy business in order to target further business growth and expansion.

    Barring any unforeseen circumstances, the two expect to have a binding agreement in place by mid-October of this year and wrap up the transfer by the end of March 2017 pending regulatory approval.

    Image courtesy Kim Kyung Hoon, Reuters

    Permalink to story.

     
  2. mosu

    mosu TS Guru Posts: 422   +48

    And Murata is heading automotive, so they needed patents and expertise. I can see a Li-Ion battery with capacitor boost in the near future.
     
  3. Jack007

    Jack007 TS Booster Posts: 160   +33

    This is a huge mistake for sony. in almost every device whether camera or phones or other electronics there are always batteries involved especiall rechargeable ones which sony specializes in. they need to reach out to these companies that make electronics and market their batteries. everyday more and more people buy electronics and I cant see how they cant make money from the millions of devices that need batteries
     
  4. Joe Seijo

    Joe Seijo TS Rookie Posts: 20   +6

    Because people buy cheap Chinese batteries.
     

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