Sony will Go All PlayStation & Cameras to Get 25 Times Profits by 2018!
While they have tried to branch out every now and then, in the past Sony has still largely been a TV company among only a few other things. Now that the winds are changing and all the big guns embrace diversity in the way we make use of technology, they have seen some really massive changes in their financial statements.
As a result, the future might bring us a Sony company that does not focus on some of its iconic products like TVs and mobiles.
You might think that this can only mean a downside for the Japan based electronics giant, but that is not the case if you listen to what their chief executive officer, Kazuo Hirai has to say.
If I translate what Hirai has said about the mobile market in my own (rather bold words) it would mean that they have decided to give in to the pressure that has been put on them by giants like Samsung and Apple from above and small – and cheap – Asian companies from below.
After facing the cut-throat competition in the market, they have suffered major losses which have rendered it impossible for them to continue striving for a spot among the big names in the smartphone market.
Now, Hirai says that they will instead be focusing their efforts on other, more profitable, market segments like cameras and PlayStation (yes!) because they can do better there.
In the past seven years, Sony has reported a net loss in six.
This has led to a major shuffling in the company ever since Hirai has been appointed as the CEO. You would remember how they let go off thousands of their employees in the past alongside their computer business.
So, does that mean Sony is surrendering?
Well, someone might say that but their future goals say otherwise. Based on the restructuring that is now taking place at the company, and the shift of focus from TV and mobiles to cameras, PlayStation and videogames, the company claims that they will see a 25 times jump in the profits of the company as soon as 2018!
Hirai believes that their “strategy starting from the next business year will be about generating profit and investing for growth.” He also thinks that the markets in question have enough potential for them to boost the sales to figure of 500 billion yen ($4.2 billion) up from 20 billion yen for the current year.
For this year, Sony has reported an operating profit (not not net profit) as opposed to the previous years; this is a good change that evidences that the massive restructuring at the company is actually paying off.
Will they actually be able to survive the hardcore shifts in the market? Shout out in the comments below.
Being the Managing Editor of TechFrag, Sarmad splits his time between keeping up with latest news, technology, gaming and other awesome things like unearthing the merits of staying up at night and Californication!