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Sony is a video game company, and currently one of Nintendo's biggest competitors. They have created the PlayStation systems.
SNES-CD and PlayStation
The first PlayStation console, released in 1994, resulted from a joint project between Nintendo and Sony to make a CD-ROM for the Super Nintendo Entertainment System. Development of the format started in 1988, when Nintendo signed a deal with Sony to produce a CD-ROM add-on for the SNES. After several years of development, Sony introduced a standalone console at 1991's summer Consumer Electronics Show called the "Play Station". This system was to be compatible with normal SNES games and SNES-CD games, similar to the Twin Famicom.
However, the two companies conflicted over control of the licensing. Under their agreement, Sony would develop and retain control over the SNES-CD disc format, effectively ceding a large amount of control over software licensing to Sony. To counter this, Nintendo president Hiroshi Yamauchi sent Nintendo of America president Minoru Arakawa and executive Howard Lincoln to Europe to negotiate a more favorable deal with Philips, Sony's industry rival. At the June 1991 Consumer Electronics Show, Sony announced its SNES-compatible cartridge/CD console, the "Play Station". The next day, Nintendo revealed its partnership with Philips via a surprise announcement at the show. Sony eventually started developing their own console to rival Nintendo's consoles, the PlayStation.