Sony to Cut 10,000 Jobs

[Darkism 13]

According to Reuters, Sony is cutting 10,000 (6%) jobs of its global workforce. This announcement comes ahead of an investor briefing on Thursday, by new Sony CEO Kazuo Hirai who took over the job from Howard Stringer. Hirai is expected to talk about how Sony plans to turn its four years of being in the red, back into the black. Sony had forecasted a net loss of $2.7 billion for the fiscal year that just ended. The main cause of the loss is its TV business.

"Under a new CEO, it's easier to cut jobs or go in a new direction," said Yuuki Sakurai, head of fund manager oku Capital. "One of the things I'd like to see is that they shift their resources to other areas outside TVs ... If they stick to TVs, they may have to fight a war they may not be able to win."


Nikkei said that 5,000 of the job cuts will come from the "the firm's chemicals and small and midsize LCD operations." On April 1 Sony merged its Sony Mobile display unit, with Toshiba and Hitachi into a new firm called Japan Display. However there was nothing specific of whether the cuts will take place in Japan or elsewhere.

http://www.vgchartz.com/article/2500...ut-10000-jobs/

It's a shame Sony has to cut so many jobs, especially since they had cut jobs a few years ago, but it's a necessary move that new CEO's do to cut losses. I do agree with what the one guy on that link says. They need to stop making LCD TV's altogether and just start exclusively producing OLED TV's. In fact, it's really one of Sony's main problems right now. They make way too many products without a sense of focus.

[fayebailey]

Sony has been one of the most significant businesses in consumer electronics. However, the company has been publishing massive losses for the past four years running, most recently projecting a $2.7 billion loss. The business is restructuring and will fire 10,000 employees. The effects of natural disasters that hit Japan as well as the massive flooding in Thailand, affects Sony's manufacturing that leads to tremendous losses at the end of 2011 and the fiscal year that has just ended. In addition to that, its chemicals operations which are being sold to the Development Bank of Japan, Sony is also going to reduce its workforce by 6 percent, or 10,000 people. There are several top executives that are also being asked to return bonuses, according to MSNBC. Article Source:10K workers to get pink slips in Sony layoffs.

[TheGoldenFlame]

Damn, everything is ending.

[BlazePrower]

Damn, everything is ending.

Except for companies like Activision.

Joking aside, I'm pretty saddened about all these losses coming from both Sony and SEGA. From the looks of things, this might be the end.

[Darkism 13]

The really sad thing is that Sony's problems have very little to do with the economic problems over the last few years. Instead, their current situation is their own doing and it's something that was preventable. It's understandable that the future of their music player market was hard to foresee and the same could be said about their television market, but they completely botched the PlayStation market which was their #1 source of income. Truthfully, they didn't even need to win the console wars to be profitable. They just needed to be financially responsible. Had they been able to make some profit from that market over the last few years, that could have bought them some time to get the rest of the company in order.