Forbes: Sony is Screwed...Is this article accurate?

[NJ5]

More importantly, Sony Ericsson's results show us the likely impact the Electronics division will suffer. Both Sony Ericsson and that division focus on high-end consumer electronics, and both are suffering from decreased demand, decreased inventory in the retail channel and increased competition. It's also interesting that Sony Ericsson predicts the first half of 2009 will be worse than Q4 08.

In economic terms, 2008 has been a tumultuous year with world markets experiencing a serious downturn. The mobile phone market has been greatly affected by this and as expected, the fourth quarter continued to be very challenging for Sony Ericsson. Our business alignment is progressing as planned, with the full effect of annual savings of around Euro 300 million expected by the second half of 2009. We foresee a continued deterioration in the market place in 2009, particularly in the first half, said Dick Komiyama, President, Sony Ericsson.

EDIT - Another interesting thing is the size of the yearly cost reduction they're implementing. It's greater than the operating loss they suffered in the holiday quarter. If Sony follows a similar trend, the next announced restructuring will probably be bigger than the one which was already announced.