Sony Corp. announced its second boost to capacity for chips used in camera sensors this year to meet demand for components it supplies for devices, including Apple Inc.'s iPhone.
The company will spend ¥45 billion on expanding its Nagasaki and Yamagata TEC facilities, it said in a statement Tuesday. In February, Sony said it planned to invest about ¥105 billion to raise output of the so-called CMOS sensors.
Image sensors, games and entertainment underpin Chief Executive Officer Kazuo Hirai's push to revive profits at a company.
Stressing profitability instead of volume growth and shifting away from TVs has helped Sony focus on its advantages, such as the sensors that help boost the quality of smartphone pictures.
The increased investment will be included in capital spending plans for the current financial year ending March 2016, Shinichi Tobe, a Tokyo-based spokesman, said Tuesday.
Sony has forecast sales of as much as ¥1.5 trillion in the year ending March 2018 for its business that makes sensors, camera modules and memory storage. The business is expected to have an operating margin of 10-12 percent.
The company has forecast operating profits reaching ¥500 billion in the year ending March 2018, .
That is the highest since ¥520 billion in 1998, according to data compiled by Bloomberg, when income was fueled by MiniDisc players and the first "Men in Black" movie.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.