Sony to Produce PlayStations in China

Sony will start making its PlayStation game consoles in China this year and may shift production of PlayStation2 machines there to take advantage of lower production costs, according to reports.

Sony Computer Entertainment President Ken Kutaragi was cited by Nihon Keizai, a local newspaper, on the production moves for the PlayStation, now called the PSone, and the PlayStation 2.

Canon, Olympus Optical and other Japanese technology companies will also move digital camera and television set manufacturing from Japan to other Asian countries to cut costs in the face of falling prices, the paper said.

This summer, Canon will start producing about 100,000 digital cameras a month in Malaysia for export to Japan and other countries, the paper said. Olympus Optical will start making digital lenses in China.

Japan's electronics makers historically have farmed out the manufacturing of low-end products to factories overseas while continuing to make digital products at home.

But tougher price competition is forcing companies to shift even their more advanced production to other countries, the newspaper said.






People's Daily Online --- http://english.peopledaily.com.cn/