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DonFerrari said:

187M seems enough to only buy a small to medium studio unless this is the 187M expected cost only in 2021 and more on 2022 and forward.

The $187M is in reference to "development personnel & in house costs." I interpreted that as developer salary, operating cost of a studio, etc, added onto SIE's overall expenses.

Sony has allocated 18+ Billion to their mid range plan, which will be focused on entertainment, further stating they're going to "aggressively invest" in their first party. Sounds like SIE is getting a big portion of that.