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Forums - Sony Discussion - Sony cutting Smartphone target again? already? Loeb sells all Sony stock.

Soundwave on 22 October 2014
Dark_Feanor said:
Sony is about to lose its foothold on Smartphones the same way they lost the TV and PCs.

It´s destiny will be very close to what happened to Nokia and Motorola.


Sony never had a huge foothold on the cellphone market so it's not really comparable. 

Apple and Samsung have always been the big fish in the smartphone market.

Even in the pre-Apple days, Sony wasn't really the biggest player in the market, Nokia and Motorola were always the "big" giants in the cell phone market and then there was Blackberry in the mid-2000s. 

I remember when owning a Motorola Razr was the "cool phone" to have before iPhone came and changed the game, lol. 



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Soonerman on 22 October 2014
Soundwave said:

I've said it before but really a Sony-Nintendo alliance would be highly beneficial to both companies, especially if Sony could convince Nintendo to work together on game-centric phone/tablet devices. A Sony-Nintendo line of "gamer phone/tablets" IMO would be reasonably successful.

But aside from that, why buy a Sony phone over an Apple or Samsung or LG or Motorola or Nokia/Windows? There's just too many companies making basically the same product.


That alliance would be the worst thing for Nintendo ever and it would only drag them to the ground with Sony. If Nintendo were to go phone/table only then it's better for them to go independent and publish on iOS and Google Play. Hell, I'm sure even in the Xbox Marketplace they would do better than with Sony and their phone/tablets.



Kerotan on 22 October 2014

So Mr. Ear Loeb made 20% on his 1.1Bn investment. Hmmm might invest a few of my billions in them.



JamaicameCRAZY on 22 October 2014
nanarchy said:
JamaicameCRAZY said:
Ok so Sony announced they were going to sell x amount of phones. Then they say we arnt going to hit that mark so we are going to reduce it. Then they say we need to reduce the number of different phones we make so they reduce the number again and this comes as a shock to everyone? Fact is if you reduce the number of different types of things you make odds are your going to have less sales. But the key is (hopefully) you become more profitable. Which is what sony needs to focus on. Synergize the company. Reduce the number of unnessisary products they make. And ensure you are selling all of them for profit.

It isn't that simple, they made investments and estimates based on those reduced product lines (those predictions were insanely high as many here stated at the time they were made), this doesn't magically turn into more profit, it turns into a larger loss as the investments have been made and the returns are far smaller than expected. Sony are woeful when it comes to estimating sales and seem to always go for the most optimistic high end of possibilities, it is a really bad practise as it can make even a relatively good set of numbers look bad and creates business models were over investment occurs.

I dont know where this reply is going. They stated they were reducing the low end phones they make and focus on only higher end phones.

By doing this they can potentially not canabolize the sales of higher end models, they can focus on advertising all of their products because their is less of them (thus they should do better), they wont have the R&D for serveral different types of devices, they can then hopefully then better predict their sales.

Now as i said before the total sales should go down as they wont be selling as much however they should be able to maximize their profits. 



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thismeintiel on 22 October 2014
DonFerrari said:
Selling less units isn't bad if they sell the ones giving better margin and cut the bad ones...

And so long Loeb, won't see him complaining about silly things everytime.

Hear, hear.  The truth is, he was only looking to make a quick buck off of his stock when/if Sony spun off the movie division.  He didn't care about the well being of Sony and its employees.  Glad I won't have to see several threads opened anymore about his BS statements each month. It's also good to see that Sony's stock actually closed slightly up today, even with this news/rumor.

Sony just needs to continue to trim the fat on divisions that cause them losses.  They already started this with the TV spinoff and PC division sale, so I hope they do continue.  Though, I can understand the mistake of investing into their phones too much.  For a little while there it seemed they had it turned around, even posted a few quarters of profit.  Just need to be more cautious in the future.  Just focus on Insurance, PS4, Cameras, Phones (but not too much, and position yourself to drop it if things continue going south), Movies, Music, and TV (shows, not actual units.) 

It will be interesting to see next quarter's numbers after the Xmas sales boost.  Especially, from the gaming division.



 

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DonFerrari on 22 October 2014
thismeintiel said:
DonFerrari said:
Selling less units isn't bad if they sell the ones giving better margin and cut the bad ones...

And so long Loeb, won't see him complaining about silly things everytime.

Hear, hear.  The truth is, he was only looking to make a quick buck off of his stock when/if Sony spun off the movie division.  He didn't care about the well being of Sony and its employees.  Glad I won't have to see several threads opened anymore about his BS statements each month. It's also good to see that Sony's stock actually closed slightly up today, even with this news/rumor.

Sony just needs to continue to trim the fat on divisions that cause them losses.  They already started this with the TV spinoff and PC division sale, so I hope they do continue.  Though, I can understand the mistake of investing into their phones too much.  For a little while there it seemed they had it turned around, even posted a few quarters of profit.  Just need to be more cautious in the future.  Just focus on Insurance, PS4, Cameras, Phones (but not too much, and position yourself to drop it if things continue going south), Movies, Music, and TV (shows, not actual units.) 

It will be interesting to see next quarter's numbers after the Xmas sales boost.  Especially, from the gaming division.


Yes western vultures that cares only about profit, the faster the better... never gave them much attention. Some of what he said had some sense in them, but usually not in the way he was saying.

Maybe they didn't even had to cut the division, but shrink it the much possible and keep few models that would involve low R&D and could profit from being premium with low unit sales. But spinoff is good (and I don't care about Vaio... I change notebook every 2-3 years and preffer to pay less for the performance so never bought... but TVs and Phones I like and on TV I change much less so I don't mind paying little premium and on Phones it is about the same price as Iphone and Samsung and better than the others so it is good).



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."

thismeintiel on 22 October 2014
nanarchy said:
Just saw this pop up on the stock news, Sony abandoning ps5 research as well?? hopefully not accurate but would not surprise me.
http://www.stuff.co.nz/technology/games/62624124/report-sony-ceases-playstation-5-research.html

I'd take that with a HUGE grain of salt.  No sources cited.  Sony would only be toying around with ideas at this point, anyway.  Nothing serious.  We still have a year or two before they actually get to work on the PS5.  And considering how well the PS4 is going for them (high sales and actual profit from the start), the PS5 would be the last thing they would stop producing.



 

NintendoPie on 22 October 2014
brighat said:
Love how a few men are using this thread to take shots at Sony but doing it without breaking the ToS of this site.

You're not that new here...

OT: Their forecast for their phones was almost as bad as Nintendo's recent sales forecasts.



Kerotan on 22 October 2014
thismeintiel said:
nanarchy said:
Just saw this pop up on the stock news, Sony abandoning ps5 research as well?? hopefully not accurate but would not surprise me.
http://www.stuff.co.nz/technology/games/62624124/report-sony-ceases-playstation-5-research.html

I'd take that with a HUGE grain of salt.  No sources cited.  Sony would only be toying around with ideas at this point, anyway.  Nothing serious.  We still have a year or two before they actually get to work on the PS5.  And considering how well the PS4 is going for them (high sales and actual profit from the start), the PS5 would be the last thing they would stop producing.

Doubt we'll see the PS5 till 2020 at the earliest. 



Wazowski on 22 October 2014

if sony wants to keep in the smartphone business first it needs to get rid the xperia brand.. get something fresh, their flagships are great, but the xperia itself its dated and people never got into it very much.. they need to try to compete in the mid tier cellphones (like motorola did) and think later about making a flagship because that market is oversaturated..