Sony Facing Corporate Upheaval?
According to the UK's TimesOnline, Sony company sources have said to expect a series of "sacred cow-slaying" procedures that will be radical enough to "abolish or fundamentally alter many of Sony's long-established business practices."
This restructuring is expected to be announced after the Consumer Electronics Show in Las Vegas, and not a moment too soon as far as most analysts and investors are concerned. The majority of these major changes will be "imposed on Sony's domestic Japanese operations in the form of factory closures and the abolition of several major divisions," and investors have asked president Sir Howard Stringer to really take charge. A Credit Suisse analyst, Koya Tabata, recently said that the focus of the company's research and development must be on software, and the important thing is to "improve organizational strength in the areas of development [and] purchasing and marketing." Evidently, a lot of the problem centers on an internal clash between the Japanese branch of Sony and its U.S. and European divisions, perhaps fueled by their non-Japanese president in Stringer. Sometimes, massively large companies like Sony really need to get back on the same page, and if that means laying waste to certain aspects of your business, than so be it.
Sony, on the other hand, has denied that any such drastic changes will be taking place. They told Reuters they have "no such plans," so perhaps all of this is just more so-called journalistic hearsay. But either way, they do need to resolve a few things and it'll be interesting to see what happens. By the way, in case you're wondering: no, the PS3 and PSP isn't going to be canceled; they're not shutting down PlayStation. That's the kind of bizarre, illogical reaction you might see online, but people with brains won't really pay any attention.
1/5/2009 Ben Dutka