Sony is bleeding money - business strategy discussion

Ooh, $25 billion. I do believe MS has enough cash to buy Sony outright ;).

Interesting tidbit: If the MS E&D Division was it's own company, it would be #125 on the fortune 500.
 
Japanese are, Panasonic, Sharp, Toshiba. Restructurings been done it's now strong Yen, price war that's made Bravia uncompetitive. Market cap devaluation is recession, tv losses, earthquake, strong Yen and earlier PS3 losses, TV strategically important, So i think Sony will go on a spending spree to make noisy shareholders excited. EMI looks like there first target. Will SCEI get a piece of the pie?.


Well they just spent on buying sucker punch.
 
Well they just spent on buying sucker punch.

Could be EA attempting another Insomniac. I'm thinking more multi $Billions. Stringers precided over 6 years of rapid Sony decline with his only actions being continual costcutting. He's finally been called out. Shareholders want hit products, money spent not Stringer sending Sony into oblivion. Interesting few months.
 
Sony's working on their TV division. Need some $$$ for corporate restructuring there:
http://www.reuters.com/article/2011/08/02/sony-idUSL3E7J137920110802

* TV unit head replaced this month

* Sony shares rise 0.7 pct, vs 1.2 pct fall in Nikkei (Changes sourcing, adds details)

Sony has already sold off TV factories in Spain, Slovakia and Mexico in the past few years and outsources much production to Taiwan's Foxconn Technology Group.

Sony and Panasonic Corp have warned of weak TV sales, especially in the United States and Europe, following Philips and Corning Inc in highlighting sluggish demand.

Masashi Imamura, who formerly headed the Personal Imaging division, which oversees the successful camera division, took over as head of the TV business on Aug. 1.
 
Basically OLED can help them there but only if they get it to market first which doesn't seem like it'll happen with LG's push.
 
Not sure what they have in mind yet. Engadget has slightly more details from the CFO's Nikkei interview:
http://www.engadget.com/2011/08/01/...uld-involve-partnerin/?utm_source=twitterfeed

Mr. Kato recently spoke candidly with The Nikkei (linked below; subscription required), noting that the company is aiming to turn its TV business "into one that can be profitable even if we do not pursue volume." In order to do so, the entire platform is being looked at -- "no stone will be left unturned" -- and he even mentioned that partnerships with other companies will be considered. Oh, and if you thought you'd have to wait a quarter or two to see any changes, have a listen at this: "Even though we haven't yet decided how to announce the plans, they'll be implemented immediately."
 
Well yeah LG was supposed to have a 31 inch on the market by now that has just fallen off the face of the earth while they promise a 55 inch for next year.
 
-that won't happen either really ("push" :D )

They already are to market on the proffesional side. Sony's new tv ethos should be bung out any old crap like everyone else. HD and OLED as articles have said are a commodity product to the average consumer due to it's inherrent high quality.
 
Cool, dream about 55" OLED if you want. Maybe even that dishwasher company is telling the truth this time. :LOL:

They already are to market on the proffesional side.
Oh so you think it will be a standard too? Arent they just trying to mimic CRT there ,really? -Haha.
Bet its getting frustrating there without CRT.
 
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Are there any profit margins left on tv's? Seems like its easy to get tv's of any size dirt cheap now. Also tv's have largely hit the "good enough" factor, I don't know how Sony can differentiate themselves there to get any form of tv dominance back.

Sure there's still significant margin but they cannot compete on price or volume. And the brand is weak so the premium price doesn't fly with consumers. It really is an anchor around their neck which is a shame because it still brings in a lot of revenue. But since they've lost so much value as a company over the years maybe they should seriously consider exiting. It'll be tough since the TV division subsidizes a lot that goes on for them.
 
Sure there's still significant margin but they cannot compete on price or volume. And the brand is weak so the premium price doesn't fly with consumers. It really is an anchor around their neck which is a shame because it still brings in a lot of revenue. But since they've lost so much value as a company over the years maybe they should seriously consider exiting. It'll be tough since the TV division subsidizes a lot that goes on for them.

They lost Brand Value? Would be interesting to have something real to back up those comments... and it would add something to the discussion as well
 
Well they just spent on buying sucker punch.

I'm not sure how I feel about this purchase, I don't know the dollars and cents behind it but I'm not sure I viewed this as a necessary or wise investment. I didn't get any hint whatsoever that SP was going to make a game for anyone else and working WITH and working FOR can be to very different things...
 
They lost Brand Value? Would be interesting to have something real to back up those comments... and it would add something to the discussion as well

Market cap. Wasn't that long ago where capitalization was similar to Samsung.
 
They lost Brand Value? Would be interesting to have something real to back up those comments... and it would add something to the discussion as well

How do you assess brand value other than sales? Years ago Sony was selling the high end for a premium over competitors, that hasn't been the case for a while now. I'd say their brand value is definitely not what it was once.
 
I'm not sure how I feel about this purchase, I don't know the dollars and cents behind it but I'm not sure I viewed this as a necessary or wise investment. I didn't get any hint whatsoever that SP was going to make a game for anyone else and working WITH and working FOR can be to very different things...

Could have been a case of the studio doing a good job of selling itself to Sony. You never know.
 
Could have been a case of the studio doing a good job of selling itself to Sony. You never know.

A high quality profitable studio. Thinking about it scewws will likely be regarded as the big Sony success story this gen. Lots of games, nearly all million sellers and a fair few doing 4million+.
 
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