Sony to sell battery manufacturing unit to Murata

By Tom Wadlow
Murata Manufacturing looks set to buy the battery manufacturing business of tech giant Sony. The two companies announced that they have entered into a...

Murata Manufacturing looks set to buy the battery manufacturing business of tech giant Sony.

The two companies announced that they have entered into a non-binding memorandum of understanding that confirms their intent to negotiate the transfer of the Sony Group's battery business to the Murata Group.

Following due diligence and negotiation of detailed terms and conditions of the transfer, Murata and Sony are aiming to execute binding definitive agreements by the middle of October 2016, and to complete the Transfer by the end of March 2017, subject to required regulatory approvals. 

Although the scope of the Transfer remains to be finalised, the parties expect the transfer to include the battery business conducted by Sony Energy Devices Corporation, Sony's wholly-owned subsidiary in Japan; Sony's battery-related manufacturing operations located in China and Singapore; and assets and personnel assigned to the battery business at the Sony Group's sales and R&D sites in Japan and worldwide. 

Business operations related to consumer sales of Sony-branded USB batteries, alkaline batteries, button and coin batteries, and mobile projectors, as well as certain other products, are not expected to be included in the Transfer.

The background and aims of the Transfer are as follows: 

  • Sony has operated its battery business since 1975, and in 1991 commercialized the world's first lithium-ion battery. Until now, Sony has continued to pursue the development and business launch of various advanced battery products, primarily as key components for electronics products. Recently, Sony has focused on enhancing the profitability of its lithium-ion polymer battery business for smartphones, an area where the competitive environment is significantly changing, while it also has shifted its resources to cylindrical lithium ion batteries for power tools and other high-power applications where it possesses significant technological advantages.
  • Murata is a global leader in the area of electronic components. To achieve the business goals set out in its "Mid-term Direction 2018" strategy, Murata is engaged in efforts to enhance its competitive edge in the communications market, while also creating new business models and customer value in its focus markets of automotive and healthcare, as well as the energy market. Given these circumstances, Murata was drawn to the technological strengths, and knowledge and experience of international markets of Sony's global battery business. Following the Transfer, Murata intends to position the global battery business as a core operation within its energy business in order to target further business growth and expansion.
  • From the perspective of each of their portfolio strategies, and in order to increase the competiveness and ensure the sustained growth of the battery businesses while also continuing to secure appropriate investment to achieve such competitiveness and sustained growth, Murata and Sony determined that it would be mutually beneficial to proceed with negotiations towards the transfer of the technological strengths and business experience Sony has accumulated in the battery business to Murata, and for the business to be operated within the Murata Group.


Follow @ManufacturingGL and @NellWalkerMG


Featured Articles

India’s smart manufacturing electric vehicle future

Indian IT service Panache Digilife has announced a manufacturing and supply chain agreement with electric vehicle manufacturer Revamp Moto

Manufacturing a legacy of safety, sustainability, and skill

Michael Vale, Group President for 3M’s safety & industrial business, explores diversity & environmental stewardship in manufacturing

5 minutes with: Simon Michie, Pulsant CTO

Simon Michie, CTO at Pulsant, explains why edge computing will transform manufacturing operations, but success will depend on having partnerships in place

Microsoft’s Çağlayan Arkan explores the supply chain

Procurement & Supply Chain

Elisabeth Brinton on the Microsoft Cloud for Sustainability


Aiimi’s Head of Solution Engineering Matt Eustace on risks

AI & Automation