Sony to cut jobs, sell struggling PC business and spinoff TV division

Following another year of losses, electronics giant Sony has confirmed it will be slashing jobs this year and separating its struggling PC and TV divisions.

Sony will use the restructuring to help it focus on mobile, imaging and games, which are now the company's core properties. Sony says it will need to spend $200 million to restructure this year, and $650 million next year. The moves will help Sony reduce annual fixed cost by $1 billion starting in September 2015.

First, Sony will sell its VAIO PC brand to Japan Industrial Partners, a move that the company calls "the optimal solution" given "drastic changes in the global PC industry." No purchase price was disclosed but the sale will close by the end of the quarter.

Sony will continue customer support for its existing products but will no longer develop or sell PC products.

The company's TV division, which has been hemorrhaging money for the last five years, will be spun-off and operate as its own wholly-owned subsidiary starting July. The division has lost over $1 billion in the last two fiscal years, alone.

To cut additional costs, the company will cut 1500 jobs in Japan and 3500 more around the globe. The company will also optimize manufacturing and slash costs at its headquarters by up to 30 percent.

Written by: Andre Yoskowitz @ 6 Feb 2014 20:59

TimShort

I am in the IT feild in Sacramento Ca.
I put together a "Phony Sony" get together
about 3 months ago. We had about 350-400
people join in on discarding all of our
Sony products. This all started with the PS-4.
It grew into all Sony products. It was about
$262 thousand worth of "Phony". After steamrolling
the item's, we donated all the E-waste to a local
food bank and cash given ended up to about $7500.
All the local media had a field day with us. Everything
was donated, Food,VFW Hall, Steamroller, clean-up and
raffle prizes in the amount of about $10,000 of products
and services. It should be on Google for sure. Most items
donated were Samsung. Will update with links to the local
news clips and many photos. It was streamed live on "Veetle"
Wont miss anything they happen to sell. "Sony Phony Bologna"

7.2.2014 14:12 #1

omegaman7

You have shoddy business practices. A lot of people know it, so they look to other companies. Your name isn't good enough to sell a product anymore :p

To delete, or not to delete. THAT is the question!

7.2.2014 14:15 #2

Jemborg

@ TimShort

What's the beef?

Its a lot easier being righteous than right.

10.2.2014 23:38 #3

TimShort

Originally posted by Jemborg: @ TimShort

What's the beef? Jemborg Senior Member
@ TimShort What's the beef?

It started out because of the PS-4 only. It was meant for a few
hardcore gamers only. It just took on its own life. Everyone wanted to jump on the bandwagon. When It took on that life of its own, the only way to feel right was to raise money for charity. I just got an Email from the foodbank saying they are still getting donations from "Sony" in the from text or letter. We are thinking of doing one at the end of summer, but donate every item to needy families this time. We could not go back on steamrolling the stuff as that is how it was billed. Our team came up with "Sony and Balogna". Free electronics and food. This time we are looking at giving our donations to a Women and childrens shelter. Not one cent was spent from donations. It was all paid for by very generous people from all walks of life.
As a note, If we knew it would have been this big, we would have donated everything brought to the event.

11.2.2014 00:00 #4

Jemborg

Thanks

Cheers

Its a lot easier being righteous than right.

11.2.2014 07:17 #5

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