Might as well switch to HD-DVD ... why oh why would Sony sell Cell to it's current arch-nemesis in the media format war? Especially with Cell being the very thing that powers the PS3, which is basically responsible for Blu-Ray flooding the next-gen DVD market.

I'd bet Toshiba would cut all Cell sales to Sony as soon as they acquire the biz, killing the PS3 and thus its main competitor in the media war. Bad move Sony, I hope this is not true...

Isn't Toshiba already part of the Cell consortium, along with IBM and Sony? This is more a case of one partner buying out another, rather than a rival acquiring their opposition’s technology.

So it cost 200 billion to make and they are going to sell for 100 billion, that was a good investment

...are trying to kill Sony off by having the Cell business and production plants sold off to Toshiba. This is a pretty basic, kindergarten level strategy move, yet it seems that they will succeed with it if no Sony manager will have the power to oppose this insane decision.

Cell has been produced by IBM,Sony,Toshiba yes, but Sony owns the main rights to the technology and selling them to Toshiba it's committing suicide, the whole Sony business will get demolished by Microsoft and Toshiba at that point.

Clutch is right: it's odd the article should mention IBM as a rival since it was one of Sony's two partners in development of the Cell -- the other one being Toshiba. I only wonder: if Toshiba's factories didn't already serve as a fab for the Cell, what was the company's role in the first place?

Also, what's happening with Sony's other semiconductor business?

If they could kill the ps3 it would save us allot of annoyance.

I WAS a playstation fan... untill all the dissapointments and delays.

Now, I am going back to PS2 for the guitar hero games. And will be getting a 360 elite for when GTA comes out. Sony, You have lost yet another customer... if only you had not delayed GTA and GT I might still be with you.

That, and the insane price tag. Plus the fact that without a HD-TV... it is just not worth it.

PS3 will still be available and your not going to buy a company and cut your sales are you.

Same thing happend when Sony and NEC mergered their Optical Business (NEC Was prime backers and suppliers to HD-DVD) of course Sony are still supplying Toshiba and MS as they are picking up royalties on both formats

Would be interested to know about the other semiconductor business tho

Have you SEEN their financials of late. Sony is taking a beating right now and I imagine that 100M+ would help their balance sheet enormously, not to mention reducing their continued investment in R&D etc.

Oh ... and as to claims of "Microsoft spies in Sony management" ... riiiiiiight. Dream on!