Sony scored a profit for the first time in five years earlier this week, but according to report on The Globe and Mail, it will be Sony’s smartphone strategy that will propel the company to high profits, and not so much the PlayStation 4.
With consumer spending converging on Apple Inc’s iPads and Samsung Electronics Co’s Galaxy phones, Sony on Thursday forecast smartphone sales to rise more than one-fourth to 42 million in the year to next March. It predicted sales of its digital cameras and Playstation consoles would contract at double-digit rates.
Sony’s boss, Kazuo Hirai, in 2012 identified mobile products, gaming and digital imaging as the core of a rebound in consumer electronics after more than a decade of decline for the pioneer of personal music players and compact discs. Of those three, mobile has since emerged as the best near-term hope for Sony to turn around its electronics business.
Financial services – mainly its insurance subsidiary – posted an operating profit of ¥146-billion, making it the consumer electronics company’s most profitable business.
Do you agree with The Globe and Mail? I’ve always held the belief that if Sony could get its act together in the smartphone and tablet market, its rebound would be faster. And now that the Xperia Z is becoming a major player next to Samsung Galaxy and the iPhone, I can see where the website got its prediction from.
Share your thoughts.