For some historical context, SMEJ (a different company to the American SME, btw) had a video game production business since the late 80's, and used to be the partial owner of SCE until 2004; Sony Corp. and SMEJ had each one 50% ownership of the company, though it didn't matter as much since SMEJ was a subsidiary of Sony, anyway.
Kazunori Yamauchi, president of Polyphony Digital and director of the Gran Turismo series, even came from SMEJ's gaming division, and GT1 also started development over there.
SMEJ itself doesn't produce any games these days, but that's because Aniplex already covers that business for them, which also has been recently expanding to console development.