Sony posts Y456.66 bil loss but expects to return to profit

Business May. 10, 2012 - 04:51PM JST ( 12 )

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12 Comments

2

gogogoMay. 10, 2012 - 05:12PM JST

when? how? too little too late sony.
4

cactusJackMay. 10, 2012 - 06:49PM JST

Before restructuring even commences, they expect higher sales and profit in the coming years....yeah right.
4

GenConsensusMay. 10, 2012 - 06:55PM JST

Expects to return to profit? I bet they will Tepco*!

**Blow it!*
2

GenConsensusMay. 10, 2012 - 06:57PM JST

I meant they would "Tepco it" -- i.e. blow it!
2

Rolf SchlumpfMay. 10, 2012 - 07:25PM JST

Will someone trust a company with the biggest failure in credit card data hacking in history or even implanting malware from the company's music cd's to computers anymore? I always liked Sony, but these days I prefer to have them one the other side of my firewall... Means, the recently bought bluray player will be my last product of this company....
1

herefornowMay. 10, 2012 - 09:00PM JST

The firm has also blamed tough competition and falling prices, particularly in the television segment, for its struggles.

Oh, poor babies, they are facing "tough competition". Guess the SK and Chinene firms just came out of nowhere and Sony couldn't do anything to respond. Sad.
-1

Pukey2May. 10, 2012 - 10:00PM JST

I'd like to give Sony the award for being the most optimistic company on earth.
-1

RealJapanMay. 10, 2012 - 10:23PM JST

Most of Japan Inc seems to be over. Too much focus on Tokyo. Nothing to be sad about. Focusing only on Tokyo (or keeping with the status quo) may work in the long run. Personally, I do not see it. With the aid of technology, the world has now become a global village. My top picks are the US, China, Australia, Ghana, and Sweden. If America can alleviate racism in the States it will stay number one. Otherwise, China will surely dominate. Love all countries; yet I see these 5 countries taking the lead. Looking at it from economics, education, innovation, global cultural accomodation, and vision. Based on these 5 criteria I see Korea and Taiwan surpassing Japan in the next 5 years. Like Japan's environmental stance but too inward thinking it seems. Like Sony I see Japan falling down the list. I am ready for the bashing. Had to keep it real. Would like to hear / read what other people have to say for their top 5 country selection in the next 5 years. Keep it real.
0

ZetsuMay. 11, 2012 - 12:50AM JST

Sadly Sony like other big j-electronic brands are going down, some faster than others, but it seems they all have the same trend... Excuses or not, floods, competition, etc... in the end it's just how well you sell your goods for those companies. I've been a heavy j-brand buyer for most of my electronics and cars too for many years, but I have to face it's not what it used to be anymore, it's loosing appeal with competitors coming strong on all fronts. How is Sony going to get back to the top brand it was? I just don't see it happening... the only type of product where they seem strong is Playstation, but competion on the handheld platform with smartphones cuts a part of the cake (not same kind of user I know, but still). PS3 seems good but how long is it going to take for a competitive chinese or korean gaming console? I wonder... this would be a huge hit to some last hopes, but they are still good for a few years I guess.
-2

wasabizukiMay. 11, 2012 - 04:44AM JST

It won't be soon, and it won't be a "comeback" but Japan will be fine. It doesn't need to be at the top. or 2nd or 3rd. It doesn't seem that many citizens in Japan care. It's somewhat similar to the Jewish and Russian communities after they had their surge in economic might - the next generation is always less driven and more relax/recreation oriented. This is a cycle that occurs in civilizations throughout, where you have decades of individuals who work their asses off and realize they want their children to have it easier or allow them to make their own choices and freedoms. Many Russians feel that there isn't a need for Russia to surge again or to be a military might. Their reaction is: 'So what? Why can't we just live in peace and harmony? What is the big deal of national pride if it is as the cost of mental and physical health?' That is the current Japan. It will be the same for Korea, Indonesia, and Vietnam. There will be burnout generations and revival generations, but in the end, they will reach equilibrium and can only be sustained by the size of the country, it's available natural resources, the overall sentiment of how nice that country is to visit or tour for vacation, etc.

Sony isn't at fault for its decline per se. Japan's appeal isn't going down, it's just that others are going up. You guys really just love to bash everything "Japan" for the sake of it, trying to tarnish the country and its people when it is really the government and conglomerates. Mergers with competing countries proved to be disadvantageous for Japan, so most of the Japanese companies stopped. They wont make the same mistake again, they won't share technology with Taiwan, Korea, or China, because those gullible businesses realize those countries are out to copy technologies and make it there own. That's why the Japanese electronics companies decided to merge with other Japanese companies. The results of these actions won't be seen for 2-5 years. Japan will undergo it's own, private, and closed door evolution both technologically and within business politics. To retain or gain a competitive edge, Japan cannot share it's technologies with the outside world until the outside world is ready for them. Japan will be the leader in solar, hydrogen fuel cell and carbon nanotechnology. I know this because I have family who are professors in Japan's universities and innovators in several private tech sectors. These guys aren't stupid. Japan's technology will always strive to be leading-edge, and everyone will always be trying to find out what the Japanese are doing. Japan has no spies or agents overseas and they know there are many spies of other nations within Japan. Japan was gullible, and finally key people in the technology sector realized what is needed to protect the future technologies Japan is creating now. The concept of profit is damning. It is a sickness of capitalism, to capitalize, to take advantage of. MASTERY will be Japan's savior, as it always has been. It will also rest on the drive and participation of WOMEN in the workforce, politics, and education arenas. The productivity of women needs to be harnessed again from the 'fine-dining, gucci buying' Japanese consumer who drains YEN into countries like France and Korea for their luxury goods and services. Many do little work and are vampires to their husbands. They've also need to raise the children better with the help of the father as a nuclear family. The women are just as much to blame as the men, but I have faith in Japanese women.

It will take time, and perhaps the abolishment of the Royal Household, the government, or perhaps a revolution to complete the process. Or maybe it will require Japan to become more open and become a melting pot like the US and Europe. In fact, it already is - the genetic make up of the Japanese "race" consists of at least 9 distinct y-dna haplogroups and OVER 18 mitochondrial-dna haplogroups. What does this mean? It means genetically, there is no such thing as a Japanese "race". What does it mean to be Japanese? What does it mean to be American? Nothing, at the genetic level. It is at the beliefs and values of a culture that we uphold that we find ourselves saying we are Japanese, or a Japanese "citizen", yet we aren't proud of the Japanese government. Much like how many Americans against the war in the Middle East despise their government and military's ACTIONS that bring a bad rap to the American citizen. It's totally undeserving for those people to be brandished and treated with hate when they are genuinely peace loving people.

One day, we won't be so arrogant to say that I'm proud to be American or Jewish or Japanese or Korean etc. Those who dwell on that are prisoners of their own mind. The countries of the world are like organs of the human body. The world is an organism and it needs piece to be operating at maximum efficiency and harmony with the rest. Until then, the whole world is at a loss. But once we reach that point, I will be proud to say that I am an earthling, or a human. And the word human actually means "to be fair". The world needs to be fair.
0

sfjp330May. 11, 2012 - 05:33AM JST

There are many reasons for Sony's fall from the top. Competitors such as Samsung learned the mistakes of excessive and unrelated diversification and channeled their resources around one or two dominant businesses, Sony still seems to have stuck up in multiple businesses: consumer electronics, music label, online music store, semiconductors, a motion picture company and financial units to name the dominant few. This diversification not only drains the brand's resources to a great extent but also diverts the brand focus from the core of the brand. Additionally, Sony had years of complacency and lack of focus has opened the market in many sectors to younger, much agile companies such as Samsung, LG, Apple, Nokia and others that are attacking Sony on multiple fronts. This combined blow from other brands that have become market leaders in businesses that Sony was once a leader is turning out to be very lethal.
0

wanderlustMay. 11, 2012 - 12:50PM JST

Sony blames the losses on everything but Sony.

Until they get rid of their inflexible vertical management structure (silos) and arrogance of having been the best a long time ago, and start sharing resources between divisions, their plans are nothing but 'feel good' PR for themselves and cut-and-paste hacks.