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.
For me development personnel & in house costs isn't merger and acquisition, at most would be increasing head count through creation of new studios. But that is how I read, don't have any further evidence.
duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"
Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"
Azzanation: "PS5 wouldn't sold out at launch without scalpers."