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Sony's shares tumble to 31 year low (BBC)

entremet

Member
Sony shares fell as much as 6.7% to 1,132 yen on the Tokyo Stock Exchange.

The firm, which has been making a loss for each of the past four years, has forecast that it will return to profit in the current financial year.

However, analysts said that investors were not convinced the firm would be able to achieve that target.

"Sony is facing a lot of difficulties and the new president has not been able to produce a clear plan as to how he will turn around the company," Yuuki Sakurai of Fukoku Capital Management told the BBC.

"Even the little that investors have heard, they are not very impressed with."

'Remains at risk'

The Japanese electronics maker has been hit by a spate of issues in recent times.

Its TV business, one of its biggest growth drivers in the past, has been hit hard by increased competition and falling prices. The division has been making losses for eight years in a row.

The company has also lost ground to rivals in the gaming and mobile phone business.

Analysts say the firm has also been lagging behind in innovation and product development, which are key to growth in the consumer electronics sector.

To make matters worse, Sony has had to deal with rising costs and a strong Japanese currency which have also hurt its earnings.


Earlier this year, the newly elected president and chief executive, Kazuo Hirai, announced that the firm would cut 10,000 jobs as part of a major reorganisation.

However, analysts warned that despite the restructuring plan, a falling market share in key segments may continue to hurt Sony.

"On the whole, [Sony] remains at risk of ongoing losses in its cellular application and TV businesses, and we continue to see little prospect of a rise in valuations for the time being," Credit Suisse analysts Yuan Tian and Shunsuke Tsuchiya said in a client note.

http://www.bbc.co.uk/news/business-18030939

Godspeed, Kaz.
 

jchap

Member
Hopefully now that they ended their retarded Sony Ericsson collaboration perhaps they will come to their senses and make a Vita phone (with non proprietary storage). It could actually be a compelling product.
 

M.D

Member
It's time for One Sony (Kaz was teasing us that it's the new strategy for Sony, but it's also an actual product!)

TV + PS4 + Blu Ray all in one.
Best in class TV, PS4 obviously comes with new PSN that takes notes from Live/Vita's PSN, box comes with access to PS Suite which now plays all Android games and others, SEN portal brings you Music + Video Unlimited and takes care of all other streaming services (Netflix, Hulu, HBO Go etc)

Thank me later, Sony.
 

Card Boy

Banned
What's the issue if they go 3rd party? It worked well for Sega if you include their PC gaming side. Samsung can take their place.
 

ReaperXL7

Member
What's the issue if they go 3rd party? It worked well for Sega if you include their PC gaming side. Samsung can take their place.

lol it worked out for Sega? Dident they just post a massive loss themselves? Also, lets be honest, Sega has been nowhere near the same company they were in terms of software quality when they were in the hardware business.

also, fewer console artsy games...
 

deadlast

Member
Hopefully now that they ended their retarded Sony Ericsson collaboration perhaps they will come to their senses and make a Vita phone (with non proprietary storage). It could actually be a compelling product.

Vita phone for 100 bucks on a 2 year contract, I'm all in. Please make this happen Sony.
 

herod

Member
It's time for One Sony (Kaz was teasing us that it's the new strategy for Sony, but it's also an actual product!)

TV + PS4 + Blu Ray all in one.
Best in class TV, PS4 obviously comes with new PSN that takes notes from Live/Vita's PSN, box comes with access to PS Suite which now plays all Android games and others, SEN portal brings you Music + Video Unlimited and takes care of all other streaming services (Netflix, Hulu, HBO Go etc)

Thank me later, Sony.

oh man I think you nailed it with this.

The last nail in Sony's coffin, that is.
 

darkside31337

Tomodachi wa Mahou
Hopefully now that they ended their retarded Sony Ericsson collaboration perhaps they will come to their senses and make a Vita phone (with non proprietary storage). It could actually be a compelling product.

E3 reveal or bust. $99 with contract. Basically the Play but with actual game support through Vita games (oh and lower those digital prices by basically $10 across the board). It's not hard.
 
E3 reveal or bust. $99 with contract. Basically the Play but with actual game support through Vita games (oh and lower those digital prices by basically $10 across the board). It's not hard.
... yes it is.
First of all, I don't think you realise what battery life this machine would have.
 
Why would Samsung want to take their place?

Plus they are unlikely to bring much new to the table, given the way they handle their mobile business...good phones, little innovation

Sony should just keep their camera and gaming divisions and get rid of everything else...these are the two areas they most excel in for me
 

iNvid02

Member
tv division is a massive black hole that is sucking sony in, its terrible

5-10 years ago sony tv would be at the top of my list
today its near the bottom, so overpriced its not funny

samsung are doing it right, thats why we have 2 of their TVs
 

lowrider007

Licorice-flavoured booze?
Thing is Sony's TV's are always overpriced, if I went into a store and a Sammy and Sony were the same price I would choose the Sony every time, but I'm not going to pay extra for one, the difference in IQ is much less these days.
 
Lee Iaccoca where are you?!!?!? Sony needs your spirit.

PS: Sony needs to fire Kaz and get an outsider from sony who can without guilt fix the horrendous mismanagement that happens in that company. Insiders could not see how broken the company is because they don't know how a successful High value hardware company could work.

Also sony needs to start selling things. Like developers to publishers, laptop factories and laptop divisions, sony Ericsson is nice and all but sell it to microsoft.

To fix the company it has to focus on core things and become simple: TV, Sound, WalkMen, Playstation, and creative content for said devices.(Movies and Music)

And try to follow a quality over quantity approach on everything it sells. Less tv's but more features on individual tv's ect.
 

BigDug13

Member
Aren't all the Japanese TV manufacturers struggling though? Korean companies LG and especially Samsung are killing it right now.

It helps that South Korea gives these companies government subsidies to allow them to provide a lower priced product and be globally competitive.

So it makes sense that the Samsung TV of equal price of a Sony TV will probably be better quality, and a Samsung TV of equal quality to a Sony will be cheaper.
 

Ashes

Banned
Thing is Sony's TV's are always overpriced, if I went into a store and a Sammy and Sony were the same price I would choose the Sony every time, but I'm not going to pay extra for one, the difference in IQ is much less these days.

Things have changed recently.
 

CiSTM

Banned
Hopefully now that they ended their retarded Sony Ericsson collaboration perhaps they will come to their senses and make a Vita phone (with non proprietary storage). It could actually be a compelling product.

Sony Ericsson collab has been over for some time now and PSP phone would probably bomb badly.
 
When shopping for a tv I haven't even bothered looking at Sony products lately. The quality is par for the course but the price is not. I typically gravitate towards Saumsung or Panasonic depending on what I'm looking for. Apparently I'm not alone.
 
It can't get any worse at this point, i wish Kaz good luck in his restructuring of the company. It shows how a company can fall in just a decade.

Sony Ericsson collab has been over for some time now and PSP phone would probably bomb badly.

I wouldn't call 2 months sometime, give them a year or so.
 

CiSTM

Banned
Aren't all the Japanese TV manufacturers struggling though? Korean companies LG and especially Samsung are killing it right now.

It helps that South Korea gives these companies government subsidies to allow them to provide a lower priced product and be globally competitive.


So it makes sense that the Samsung TV of equal price of a Sony TV will probably be better quality, and a Samsung TV of equal quality to a Sony will be cheaper.
Japan does this too, and they even go to great lenghts to stop foreign manufacturers from entering Japanese markets or simply tax them more then they do Japanese companies.
 

MajorPain

Member
I remember buying Sony products because if I bought Sony I knew it was good quality you paid more but the quality was so much better now I avoid Sony at all cost I think they forgot how to make a quality product.
 
I remember buying Sony products because if I bought Sony I knew it was good quality you paid more but the quality was so much better now I avoid Sony at all cost I think they forgot how to make a quality product.
Eh, the quality is fine, they're just not good at pricing it/staying competitive.
 
Aren't all the Japanese TV manufacturers struggling though? Korean companies LG and especially Samsung are killing it right now.

Yea Panasonic posted a $10 billion loss and I believe Sharp lost big as well. Which is why Kaz is shifting focus away from TVs and making their TV line cheaper. Sony's new focus is on cameras/camcorders, mobile phones, and gaming. Seems like they are trying to become smaller and more efficient. Will be interesting to see how that all shakes out.
 
Remember when Sony was cool?

VcY76.jpg


It's time to bring these little guys back.
 

Yalstromo

Banned
I remember buying Sony products because if I bought Sony I knew it was good quality you paid more but the quality was so much better now I avoid Sony at all cost I think they forgot how to make a quality product.
lol what?
They're still making great products!
 

TedNindo

Member
I like Sony products but they can't compete anymore. Sony TV's are more expensive and unjustifiably so. They've been the best in hardly anything the last years. Panasonic/Pioneer made better tv's and now Samsung is taking them all for a run with their LCD LED's and when OLED's come out later this year they are giving the finishing blow.
They also missed the boat with their videocamera's which were top of their class because it's better to get a canon camera these days. For less money you get professional results.
They also missed their chance with the MP3 players.
The only thing that really worked out for them in recent years is the blu-ray player. There seems to be a serious lack of good R&D at Sony or something. They were the first with an OLED on the market why didn't they invest more into this?
 

big_z

Member
What are the odds of Sony going under? Everything seems to go wrong, what is keeping them alive exactly?

decent odds. they're like 90's sega where they're already broke, managed like shit and are living off good will that they can turn things around in the next couple years. unless they show massive improvements in earnings they wont be long for this world.

lol what?
They're still making great products!

not really. they're products arent budget quality by any means but rather on par or slightly worse than competing products yet sony still charges a premium. making matters worse is that consumers no longer hold the brand name highly anymore.
 

MajorPain

Member
Eh, the quality is fine, they're just not good at pricing it/staying competitive.

I don't think so, they use to be the number 1 tv. The last tv I bought I didn't even consider a Sony. Seems like Samsung and Panasonic have past them up in this area. Also they missed the whole mp3 era. And still it is beyond me why they always insist on going with their own proprietary media formats.
 
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