Sony is saying goodbye to its Vaio line, which could largely disappear in markets outside Japan, according to PC World. The Japanese electronics maker plans to focus on smartphones and tablets instead. The company will stop making PCs after the launch of its spring lineup, and plans to also spin off its lackluster TV business into a wholly owned subsidiary by July. As a result, Sony expects to cut approximately 1,500 jobs in Japan and 3,500 overseas in markets where it operates. Sony did not announce the price the PC unit sold for, but Japanese business daily Nikkei estimated it to be 40 billion to 50 billion yen ($395 million to $493 million). That sale will help the struggling consumer electronics giant, which lowered its financial projections to a net loss of 110 billion yen ($1.1 billion) for the fiscal year that ends in March. As Sony looks to jettison its PC unit, it joins a growing group of other hardware makers that are taking or have considered similar steps. Global PC shipments fell 10 percent last year, research firms Gartner and IDC reported, which may be prompting some hardware markers to engage in self-reflection, even though the decline is beginning to flatten.
Sony Selling PC Unit and Cutting 5,000 Workers
Sony is selling its PC business to Tokyo-based investment fund Japan Industrial Partners (JIP) and plans to lay off 5,000 workers by the end of fiscal year 2014, marking the latest PC maker to rethink its strategy after 2013 returned the worst-ever sales for the PC market. Sony is saying goodbye to its Vaio line, which could largely disappear in markets outside Japan, according to PC World. The Japanese electronics maker plans to focus on smartphones and tablets instead. The company will stop making PCs after the launch of its spring lineup, and plans to also spin off its lackluster TV business into a wholly owned subsidiary by July. As a result, Sony expects to cut approximately 1,500 jobs in Japan and 3,500 overseas in markets where it operates. Sony did not announce the price the PC unit sold for, but Japanese business daily Nikkei estimated it to be 40 billion to 50 billion yen ($395 million to $493 million). That sale will help the struggling consumer electronics giant, which lowered its financial projections to a net loss of 110 billion yen ($1.1 billion) for the fiscal year that ends in March. As Sony looks to jettison its PC unit, it joins a growing group of other hardware makers that are taking or have considered similar steps. Global PC shipments fell 10 percent last year, research firms Gartner and IDC reported, which may be prompting some hardware markers to engage in self-reflection, even though the decline is beginning to flatten.
Sony is saying goodbye to its Vaio line, which could largely disappear in markets outside Japan, according to PC World. The Japanese electronics maker plans to focus on smartphones and tablets instead. The company will stop making PCs after the launch of its spring lineup, and plans to also spin off its lackluster TV business into a wholly owned subsidiary by July. As a result, Sony expects to cut approximately 1,500 jobs in Japan and 3,500 overseas in markets where it operates. Sony did not announce the price the PC unit sold for, but Japanese business daily Nikkei estimated it to be 40 billion to 50 billion yen ($395 million to $493 million). That sale will help the struggling consumer electronics giant, which lowered its financial projections to a net loss of 110 billion yen ($1.1 billion) for the fiscal year that ends in March. As Sony looks to jettison its PC unit, it joins a growing group of other hardware makers that are taking or have considered similar steps. Global PC shipments fell 10 percent last year, research firms Gartner and IDC reported, which may be prompting some hardware markers to engage in self-reflection, even though the decline is beginning to flatten.
