Published in News

Sony will not make any money this year

by on14 May 2014

Another wave of restructuring

Sony will force itself through another wave of restructuring after announcing that it will not make any money this year. The maker of the PlayStation is one of the biggest tech companies in the world, but has seen its influence progressively fall – partly due to competition, but mostly because of stuff ups.

Now the company is expecting to post a $489.5 million loss in the current fiscal year. Sony's CFO Kenichiro Yoshida said that 2014 will be a year of biting the bullet on restructuring. It was questionable if there was anything that Sony had not restructured, but Yoshida said that in previous years the restructuring was mostly within business units and in manufacturing. This time it is going to quit businesses entirely.

The Walkman maker dropped out of the PC market, agreeing to flog its Vaio business to an investment fund. A lot of its problems are because of shrinking demand for disk-based media, and unexpected costs associated with its withdrawal from the PC business. Sony has said that it will stop production of commercial OLED TVs, to focus on 4K panels.

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