
Sony's Stringer Says Profitability is Top Priority
June 20, 2008 | 11:29 AM PST
Can anyone guess what Sony management's top priority is? Creating innovative new products? Nope! Customer satisfaction? Not that either. Nope, according to Sony Corp. Chairman Howard Stringer, the company's top management priority is "to restore profitability in our television and game businesses," both of which lost money in the last fiscal year.
Maybe with any luck, either of the former is considered a key to the latter.
Last month, Sony made the prediction that its games division would post its first annual profit in three years, after having reduced the cost involved in producing PlayStation 3s. The past two years under Stringer have seen it lose $3.4 billion dollars, thanks to a little upstart known as the Wii.
Presently, they're forecasting that they will sell 10 million PlayStation 3s this year, and 9 million PlayStation 2s. No telling if they expect any overlap, thanks to the b/c snip-snip they pulled awhile back. Regardless, it seems that they would then be conceding their spot as the "world's largest maker of video game consoles," as Nintendo is predicting they'll move 25 million Wiis into homes this year.
And in all fairness, they are a business, but when you have to say something like "profit is our top priority," then you know things just aren't going well.
source: Bloomberg


















