After revealing earlier this week that it expects to see a record loss of $6.2 billion for 2011, Sony is taking some drastic moves in an effort to pull itself out of the red. One of those is called the 'One Sony' initiative, which will see the Japanese company shed 10,000 jobs and spend ¥75 billion (approx. $926 million) on restructuring by the end of the 2012 fiscal year, which concludes on March 31, 2013.
The job losses were already reported earlier this week, but they weren't confirmed until Sony's CEO Kazuo Hirai took to the stage at a press conference in Tokyo today. It's not great news if you're a Sony employee, but Hirai promises that the company "will change" as a result of these cuts.
It's also worth noting that not all 10,000 of those employees will actually be without a job; that number also includes workers who are expected to transfer to external companies as part of the sale of businesses and other "realignments," according to The Next Web.
In addition to cutting 6% of the workforce, Hirai also outlined some of the company's other plans. Its One Sony initiative will focus on three core markets: gaming, mobile devices, and digital imaging.
The company will be pushing more downloadable titles and subscription services out through the Sony Entertainment Network (previously the PlayStation Network), and it will expand the lineup of PlayStation Suite smartphones and tablets.
With regards to mobile devices, Sony will "launch new mobile products and establish new business models." It will "aggressively leverage its many technologies in areas such as digital imaging and game, its rich content assets including pictures, music and game, its "Sony Entertainment Network" network service platform, as well as the communications technology expertise and knowhow accumulated through its experience in the mobile phone industry"
For digital imaging, Sony will reinforce its development of image sensors, signal processing technologies, lenses, and other technologies "in which it excels." And it will leverage these technologies in both consumer products and in broadcast and professional products, such as television and security cameras.
The company also hopes to turn around its television business, which has lost out to cheaper solutions from the likes of Samsung and LG in recent years. It promises to enhance the image and audio quality of its BRAVIA range of LCD televisions and advance the development of OLED and Crystal LED Display technologies. It will also enhance the integration of its televisions with its mobile devices.
Finally, Sony will focus on emerging markets like India and Mexico by introducing products that are "tailored to local needs."
It sounds like Sony has a lot of work to do to get itself out of this financial predicament, but analysts believe Hirai is the man to turn the company around.
Do you think Sony will change?
[via The Next Web]