Sony’s largest PlayStation disc manufacturing facility has begun transitioning its workforce away from producing physical game discs, marking one of the clearest signs yet of the company’s shift toward a digital-first future.
According to ORF, the Sony DADC plant in Thalgau, Austria, which currently produces up to 600,000 optical discs per day, has started reassigning employees to its growing Micro Optics division following Sony’s announcement that first-party PlayStation games will no longer receive physical disc releases beginning in January 2028.
Despite the major operational change, the company says the restructuring will not result in layoffs. Instead, employees are being retrained to support a new manufacturing business focused on advanced optical technologies.
Disc Production to Decline as Sony Diversifies Manufacturing
Sony DADC CEO Dietmar Tanzer explained that PlayStation disc production currently accounts for roughly 50% of the factory’s output, with around 20% representing new orders.
Speaking to ORF, Tanzer said,
“We’re looking at roughly 10% of the volume in 2028,”
highlighting the significant decline expected after physical PlayStation releases come to an end.
To prepare for the transition, Sony has reportedly invested €30 million in new equipment designed to manufacture optical microlenses, allowing the Austrian facility to expand into a different high-tech market.
Workers Retrained for Sony’s New Micro Optics Business
According to Markus Streibl, Head of Micro Optics at Sony DADC, the technology focuses on miniaturizing optical systems that can precisely direct and control light. He explained,
“Micro optics is the miniaturization of optical systems and elements and serves to focus and direct light in the smallest possible space.”
One potential application includes vehicle lighting systems that can project turn signals directly onto road surfaces.
Employees have already begun testing the new production equipment, with large-scale manufacturing of optical microlenses expected to begin next year.
The development also casts doubt on hopes that Sony might reverse its decision to discontinue physical PlayStation game releases.
While campaigns such as Don’t Kill the Disc, launched by Canadian retailer PNP Games, have attracted more than 30,000 signatures, Sony’s long-term investment in alternative manufacturing suggests the company is moving forward with its digital strategy.
