Sony To Shut Down VHS Plant In France

Sony said on Friday it has decided to close down its videocassette plant in France, with the rise of disk- and chip-based recording technologies cutting demand for the magnetic tape. The 24-year-old factory in Dax, France, employs 312 workers and makes around 8 million VHS videocassettes per month. It also produces 8 mm and Betacam SP videocassettes.

Sony said it expects to shut it down by the end of March but estimated costs from the closure are still unknown.