Sony Willing To Sell Mobile Business:Report
After the Sony hack scandal, a revival of business is a looming topic of discussion among executives of the company. And now the leadership hurdle at Sony is thinking of selling or joint venturing with another company, with respect to it’s money losing verticals like the mobile and TV operations at Sony.
Reuters reports that Sony CEO Kazuo Hirai and his top mates are now open to options for such a business proposal. Sony’s mobile business consists of the popular Xperia series.
“Sony management recognises that no business is forever. Although no deals are on the table, every segment now needs to understand that Sony can exit businesses”, an anonymous source told the publication.
The report also states that Hirai threw caution in the air at Las Vegas only. “Electronics in general, along with entertainment and finance, will continue to be an important business. But within that there are some operations that will need to be run with caution – and that might be TV or mobile, for example,” he said.
Sony has reportedly forecasted a net loss for 230 billion yen for this quarter. It all plans to suspend dividend payments for the first time, and the company attributes this fallout to deep smartphone losses.
Even in India, the company has announced a 14 percent cut in prices of all Xperia smartphones, sales figures.
Analysts feel that in order for Sony to revive, the company will have to indulge in drastic reforms and exits. Sony has been struggling to compete with Apple and Samsung, and are expecting a 180 billion yen impairment charge for its mobile phone business. Nokia was forced to sell its mobile phone business to Microsoft for the same stiff competitive market reasons. If Sony does sell off its mobile business, it will be interesting to see who takes over, and what becomes of the Xperia series.