As a hardware (TV's, phones, Vaio) company most likely not, but software (movies, music, SCE-but as a multiplatform developer) wise they are still quite good, in reality Sony splitting the company between hardware and software would be the best thing, sell on the hardware factories to other companies, continue to be Sony as a software company for the foreseeable future.

Sony can regain most of the fields where they lost market space. But that would take b*lls: big, b*lsy and risky decisions.

Who says it has to be?

They're a pretty good company; they just have terrible management. A Diamler Chrysler employee once told me: An excellent company with mediocre management = mediocre results. In Sony's case though, it's shitty management. To answer you question: I don't know.

I think they could easily reclaim a share of the gaming market next gen.

I mean, they only really lost this generation because of their own mistakes. An overpriced, year late console has been a very big problem for them but - as I think everyone's seen - they've been turning the disaster around a LOT lately. If they can keep this momentum going into the next generation they'll easily trump Microsoft at the very least (I think a lot of MS's success will hinge on how 343i's Halo is received - MS REALLY need to get moving on another franchise).

As for other business areas though, I don't really see them getting their dominance back. They should withdraw from a lot of them, and focus on just a couple. Which is exactly what Kaz is doing, hence why I have faith that they'll be able to turn things around.

I'm sure 30 years ago people were saying the same about Sony. And then the walkman happened.

They can, but it'll take some major changes and possibly a massive staff overhaul. I'll reserve judgement until Kaz has had time to actually have an effect.

Unless they go back to making the weakest system like they did with the PS1 and PS2, then you can go ahead and count them out.

That was basically the question, during Sony's prominence they were top dog, so my answer is just that, a answer to the question.

The quality of this gen's software - the stupid development cost of the tech - the ridiculous launch price - MS headstart = a very attractive prospect.

They have Move tech, Tablet tech and PS Eye tech already established so competing on those fronts won't be costly and if reports (and common sense) are correct they're going for off-the-shelf parts with some tweaks. Sounds good to me. 

If this is about the whole company, yeh they can re-establish themselves.