Sony is in talks with Samsung to set up a joint enterprise making a tablet PC to take on Apple's iPad.
Sony Chief Financial Officer Nobuyuki Oneda told the Wall Street Journal that the two companies would soon start making LCD screens together and that the move would eventually lead to new Sony-branded tablet device.
"Sony has to develop a device similar to Apple's iPad tablet computer, because it is a different product category than the company's existing electronic book reader," he said.
Apple has, of course, stolen a march on the whole tablet market with the iPad, but if any manufacturer has the ability to compete with the Cupertino company in terms of design, build quality and technology, then Sony is undoubtedly in the frame.
An Android-powered device from the two electronics giants would certainly give Apple's Steve Jobs something to worry about as he has often stated that Sony is one of the few companies he fears and respects.
Sony is also well placed to offer online content delivery with its existing PlayStation Network, which could easily be adapted to serve another device with applications, music and movies.