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Decoding Sony’s consumer electronics break up |
Acording to recent a data chart by Splatf Sony’s consumer electronics business — led by TVs, videogames, and computers — still generates about half of the company’s sales.
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But Sony’s profits these days come from what may seem like an unexpected source: Its financial services business,
which includes life insurance, non-life insurance, and banking. (At
least before the rest of Sony wipes those profits out — overall, the
company expects to lose more than $1 billion this fiscal year of 2012.)
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Image Courtesy:splatf
Kazuo Hirai, chief executive of Sony, has conceded the consumer electronics company is
being forced by limited resources to be “very selective” about the smartphones
it offers in the US, as it faces “a big task” in challenging dominant rivals Apple and Samsung
Meanwhile in its country of origin Sony shares fell as much as 6.7% to 1,132 yen on
the Tokyo Stock Exchang during April 2012. Its TV business, one of its biggest
growth drivers in the past, has been hit hard by increased competition and
falling prices. The division has been making losses for eight years in a row.
The
company has also lost ground to rivals in the gaming and mobile phone business
Sony has been making a loss for each of the past
four years, has forecast that it will return to profit in the current financial
year of 2012 Sony The firm, which has been making a loss for each of the past
four years, has forecast that it will return to profit in the current financial
year.
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