Core Viewpoint - Sony Group's imaging and sensing solutions division (I&SS) anticipates a delay in achieving its 60% market share target for 2025 due to lower-than-expected sales from major clients and intensified competition in the high-end sector in China [1][3][4] Financial Performance - For the fiscal year 2024, I&SS expects sales to reach 1.799 trillion yen, a 12% year-on-year increase, and operating profit to hit 261.1 billion yen, a 35% increase, both setting historical records [1][4] - The growth in sales is attributed to favorable exchange rates, improved product mix, and increased sales of mobile device sensors [4][5] - The forecast for fiscal year 2025 includes a 9% increase in sales to 1.96 trillion yen and a 7% increase in operating profit to 280 billion yen, both projected to be historical highs [4] Market Share and Strategy - Sony Semiconductor's president indicated that the market share for 2024 is expected to remain flat at 53%, with a projected increase to 56% in 2025 [1][3] - The CFO explained that the stagnation in market share is primarily due to unmet sales expectations from major clients and increased competition in the high-end market in China [3] - Sony Semiconductor has outlined a business strategy focusing on five functional axes: sensitivity/noise, dynamic range, resolution, readout speed, and power consumption, aiming to balance these features in product development [3][5] Investment and Future Outlook - The company plans to invest in new manufacturing processes to support the production of innovative sensors, with investments expected to be phased in starting from 2030 [5] - The investment scale may approach that of the previous mid-term plan, which was approximately 930 billion yen [5] - The company is also evaluating the growth potential of various sensor markets, including automotive sensors, while aiming for long-term business growth with optimal development costs [6] Corporate Structure Considerations - There are reports suggesting that Sony is considering spinning off its subsidiary, Sony Semiconductor Solutions, with the goal of an initial public offering [7] - The company is open to exploring structural changes in other business units if necessary, but currently has no plans for such actions beyond the financial department [7]