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Sony Businesses The Almighty Buck

Sony To Slash Smartphone Workforce 50% By 2020 (nikkei.com) 51

Sony is cutting up to half its smartphone workforce as sales shrink in the face of stiff global competition. From a report: The job cuts come as the global smartphone industry suffers one of the severest downturns of recent years. Worldwide shipments are expected to decline for the third straight year in 2019 to about 1.3 billion units, according to U.S. research company IDC. Sony's share of the smartphone market has fallen sharply in recent years -- from more than 3% in 2010, according to the research portal Statistica -- to less than 1% currently. It has struggled to compete against leaders Apple, Samsung Electronics and Huawei Technologies, all of which are racing to develop new 5G devices. The decision to scale back its smartphone workforce, which could see up to 2,000 of the total 4,000 jobs cut by March 2020, is part of a move to reduce fixed costs in the business, and also includes procurement reform.
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Sony To Slash Smartphone Workforce 50% By 2020

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  • When you axe the devices that are popular and actually fairly unique (the Compact models), don't be suprised at falling sales when people go to other, more popular, brands that have carrier promotions/perks for the same-ol phablet.

    • Before the Galaxy S5, they made the first flagship phone which was waterproof. They even went so far as to have their engineers figure out how to make the touchscreen usable while it was wet (AFAIK it's the only phone with that capability). Then the dropped waterproofing as a feature from their phones? WTF? Pure management fail.
    • by Daetrin ( 576516 )
      Agreed! I just got a Sony Xperia XZ1 Compact a couple months ago. I was going to get the XZ2, but since it it's a little larger and doesn't have a headphone jack i decided to go back one generation. Now that Sony no longer seems to be doing new Compacts i have no idea what i'm going to get next, but i don't have a lot of incentive to stick with Sony at this point.
    • by jabuzz ( 182671 )

      The problem with Sony is that they produce too many models and update them too frequently which just increases support costs. Basically they where updating lines every six months where every 12 months would be more than fine, and then they could keep supporting them for longer.

      I had a Z1 compact and went to a XZ1 compact. I have no idea where I will go next to get a compact waterproof phone with a headphone socket.

  • Comment removed based on user account deletion
    • by Rei ( 128717 )

      I went from the Xperia Z2 to the Xperia XZ2. The software stack got a lot better between the two. Back in the Z2 days there was too much bloatware that you couldn't uninstall.

  • Douglas Adams only got one thing wrong. The collapse of civilization occurs because of peak mobile phone, not the shoe event horizon.

  • by Anonymous Coward
    I considered one but opted not to buy it because it had Facebook preinstalled and it was not removable.

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