Sony and one of Japan's largest computer games software makers, Bandai Namco, are planning to jointly develop entertainment contents optimised for the powerful Cell chip that sits under the hood of the PlayStation 3.
The two companies will together invest ¥100 million (£415,000) to form Cellius. The venture will be established on March 6 and will be 51 percent owned by Bandai Namco with Sony holding the remaining stake. The president and one senior executive will come from Bandai Namco and two other senior executives will come from Sony.
Precise details of what the company will develop are yet to be decided but it will focus on new entertainment products including audio and visual content, said Satoshi Fukuoka, a spokesman for Sony in Tokyo.
The Cell chip is one of the most powerful processors to arrive in consumer products to date. Developed with a budget of several billion dollars by Toshiba, Sony and IBM, the chip has found its first home in the PlayStation 3 but Toshiba and Sony are also working on building it into a wider range of products.
Such products are due around this time next year and could provide a wider potential market for the entertainment contents to be developed be Cellius.