Sony on the brink of corporate upheaval, drastic changes

[goddog]

makingmusic476 said:

goddog said:
im gonna go out on a limb and say the sony ericson partnership may be over, and they will sell stakes in sony BMG, if not in the movie unit. I expect a few first party devs to be shuttered, and more charges for sony online. shuttering of TV production and research facilities

 

From the article:

Koya Tabata, a Credit Suisse analyst, recently warned investors that the restructuring of Sony is perilously overdue and must be radical. Sony management needs to make a rapid shift in its business model to one driven by earnings in the content business, he said.

The focus of research and development must be on software, he said, adding: “The most important thing is that, to improve organisational strength in the areas of development, purchasing and marketing, it will be necessary to further concentrate power in the hands of [Sir Howard] and unless this is achieved we believe [Sony] will be unable to close the gap with competitors such as Apple and Nintendo.”

When Sony Pictures and Sony Computer Entertainment Worldwide Studios are some fo the more porfitable parts of Sony, why would they be shut down?  Even the weaker games from SCE's game lineup often manage to break a million (like Heavenly Sword), and excell well into profitibility (the exceptions being Lair - Factor 5 isn't first party, and they're already dead - and Sony's NBA series).

I agree that they should end the Ericsson deal, however.

 

for sony pictures, its more they are need some cash, and selling stakes in it will give them that while keeping control and revenue from it. as for sony SCE they have grown too big, Im not saying major closings, just a few smaller studios shuttered or combined into otherones, with a net reduction in upper management... the more I look at it the more i see their problems being largely caused by a lopsided amount of upper management