Sony Ericsson

Sony and Sony Ericsson Decline On Greenpeace’s Environmental Rankings of Electronics Companies

by Sohrab Osati | Nov 9, 2011 | 1 comment

One of the bright spots for Sony Corporation over the last few years has been their green initiative and their environmentally-healthy products and production plants. Sony regularly beat rivals like Apple, Samsung, and Nintendo in this area, who scored dead last among the top companies listed last year. Now, both Sony and Sony Ericsson have taken a dip in the most recent findings on the Greenpeace’s environmental rankings of electronics companies while rival Apple has now come ahead, ranking in 4th place and beating Sony for the first time.

Sony Ericsson, the soon-to-be-bought-out partnership between Sony and Ericsson is down four spots to number six, compared to last year. Sony Ericsson gets a joint top score on green products and good sustainable operation score but is weak on energy criteria. Sony by itself has also lost four spots in this year’s ranking, landing at the number ten spot while rival Apple is now up to number four. Samsung, one of Sony’s biggest rivals has also lost two spots, down to number seven. Sony receives a penalty point for lobby against stricter energy efficiency standards in California. However it also received top scores for supporting ambitious climate targets in Europe.

After the jump, the full report on Sony.

Sony to Sell Merchandising Rights For Spider-Man to Raise Capital

by Sohrab Osati | Nov 7, 2011 | 9 comments

Over the last year, we’ve extensively reported Sony’s financial position and their lack of competitive marketing, mainly due to their financial woes. This became even more evident during the company’s recent earnings report which has the electronic giant posting a $1.1 billion annual loss. While Sony is making some strategic moves, like purchasing out the remaining shares of Ericsson and bringing all mobile operation in-house while also revamping their LCD business, these measures won’t be enough for the short term. The truth is, such moves can take years to be properly implemented, and so, Sony, in the meantime, will not see any financial gains. In fact, the opposite will take place with the Ericsson buyout where Sony will be shelling out nearly $1.5 billion for the remaining 50% and patents held.

So what can Sony do to raise some short term capital? Selling the merchandising rights for Spider-Man seems to be the current answer. During the company’s Q2 earning results, Sony announced that it has sold the merchandising rights to Spider-Man for ¥21.4 billion ($278 million). To be clear, this has nothing to do with the movie rights that Sony holds so don’t think that Disney/Marvel will be taking over the rights. However, it really does put things into perspective, seeing how Spider-Man is one of the best-selling characters of all time. Sony Pictures, the film studio of Sony Corporations, is currently filming The Amazing Spider-Man, a reboot helmed by Marc Webb.

Sony to Phase Out Feature Phones

by Sohrab Osati | Oct 31, 2011 | 100 comments

Though it’s been less than a week since Sony announced their plans to buy the remaining 50% stake in their joint venture with Ericsson, Sony CEO Sir Howard Stringer is already looking beyond that. In a recent conference call which took place after the mentioned announcement, Mr. Stringer went on to note that Sony will phase out all feature phones from their lineup, like the W995 (pictured below,) and, nigh-on, the entire Walkman range of handsets.

We’re phasing out feature phones.

Sony Ericssons current CEO, Hans Vestberg, who many believe will head Sony’s mobile phone operations, once the buyout is completed also commented on the matter and further confirmed Sir Howard Stringer’s strategy.

First of all, Sony Ericsson has gone through a big transformation. They will take the decision they need to make for the company to succeed. And I guess it’s a question for the company more than for us.

To be clear, feature phones are non-smartphone models; think pre-iPhone. Such a move will have Sony Mobile focus and create strictly smartphones, which currently comprises of Android OS, though there have always been rumors that Sony may embrace Microsoft’s Windows Phone OS as well.

Sony Buys Out Ericsson Shares. All Mobile Operations Come In-House

by Sohrab Osati | Oct 27, 2011 | 0 comments

After weeks of rumors running rampant about Sony buying the remaining 50% share of Ericsson, their mobile partner in Europe, the two companies have announced the full purchase and takeover of operations by Sony Corp. Just earlier this week, Sony’s executive deputy president, Kaz Hirai, danced around the subject of a takeover of Ericsson.

I’m not going to comment on the speculation. After April, when Sony made its latest reorganization, one of the things I’ve done with Sony’s CEO and Sony Ericsson’s CEO is recognize that Sony Ericsson is an important part of Sony’s overall strategy, and that the two are in lockstep, whether it is a joint venture or not. That’s one of the things we are embarking on.

Under this new deal which will have Sony bring all mobile smartphone operations in house, Ericsson, their partner since 2001 will receive 1.05 billion euros($1.45 billion) in cash for its 50 percent share of the venture.

“We can more rapidly and more widely offer consumers smartphones, laptops, tablets and televisions that seamlessly connect with one another and open up new worlds of online entertainment,” Sony Chairman and Chief Executive Sir Howard Stringer said in a statement.

In regards to the large amount of IP held by Sony Ericsson, both companies will enter a cross-licensing agreement which covers products and services while Sony will be given “ownership of five essential patent families relating to wireless handset technology.” A large part of this move was put into place because Sony Ericsson fell to 6th place in the mobile handset industry while rivals like Samsung, who also use Google Android platform, have thrived, and Apple and the iPhone have continued to dominate.

“This acquisition makes sense for Sony and Ericsson, and it will make the difference for consumers, who want to connect with content wherever they are, whenever they want,” Stringer added.

Sony hopes that by bringing all operations in-house, they can better promote the brand and integrate it with other Sony products and services. No timetable was given for the complete transition, nor a name, but many expect that all future handsets will simply be under the Sony title.

Kaz Hirai Dances Around Subject of Sony Buying out Ericsson and Bringing Mobile Operations in House

by Sohrab Osati | Oct 25, 2011 | 2 comments

At AsiaD, Sony’s executive deputy president, Kaz Hirai, discussed a wide range of business in which Sony has a stake. Over the last few months, Sony has continously stressed the importance of the mobile landscape and pointed to its success in that market as an integral part of their strategy. Many have always pointed towards the joint venture between Sony and Ericsson as a dysfunctional partnership, due to cultural and corporate differences. This has also lead Sony from falling into 6th place position in smartphone sales worldwide. The constraints of the joint venture has also made Sony uncompetitive compared to rivals at HTC and Samsung, let alone Apple and their iPhone juggernaut.

Many critics, including us, have pointed towards the synergy Sony can have by bringing their mobile operations in house, which would see software and hardware produced in one location. This would not only allow them to put out more cohesive products, but Sony can also better align product features and launches with other products which made benefit from each and enhance the experience between the two. Kaz Hirai was asked about rumors of Sony buying out the remaining shares of their Ericsson joint venture and bringing all operations in house.

Hirai: I’m not going to comment on the speculation. After April, when Sony made its latest reorganization, one of the things I’ve done with Sony’s CEO and Sony Ericsson’s CEO is recognize that Sony Ericsson is an important part of Sony’s overall strategy, and that the two are in lockstep, whether it is a joint venture or not. That’s one of the things we are embarking on.

“Those are the kinds of things we need to work on to make sure it is a seamless experience.”

We’ve pointed out that we believe Kaz is a smart guy and he gets it. Also, if such a report were not true, then Sony could simply deny all claims. Instead, when Kaz was asked about it again by Walt:

Walt: So, are you going to buy out Ericsson in the cellphone space?

Again, Hirai says he won’t comment on speculation. The most important thing is that we are able to work a lot closer with the folks at Sony Ericsson.

Kaz ever so slightly confirms in our view that this is indeed the strategy that Sony is going forward with by confirming the fact that they need to work a lot closer with the folks at Sony Ericsson. Can’t get any closer than bringing them in house, right?

Sony Ericsson Files Lawsuit Against XperiaBlog (.net) Forcing Them to Close Shop

by Sohrab Osati | Oct 21, 2011 | 3 comments

It’s with a sad heart that I have to report that the folks at Xperiablog.net are shutting down their website, due to a recent suit filed against them by Sony Ericsson. For those who didn’t regularly visit their website, Xperiablog.net was much like our website, dedicated to giving Sony users the news and information they care about. Their site however, had a specific focus: on Sony Ericsson’s line of Xperia smartphones which run exclusively on Google’s Android OS. We have often used their commentary and breaking news as sources of our own and had always found them to be precise, fair and in good faith. Less can be said about larger tech websites which tend to use Sony as a punching bag. Instead, Xperiablog.net was designed to cater to the Sony community and give them a place to belong.

Sony Ericsson, however, did not see it this way and thought that they were instead somehow using the site to harm the Sony brand.

Sony Ericsson is alleging that we have used the domain names in “bad faith”. We are stunned and disappointed that Sony Ericsson, a company that we have spent much of our free personal time in promoting, especially the Xperia brand, has decided to take this formal action against us. After all we are just like you, passionate Sony Ericsson users, who have strived to bring the community breaking news and an independent viewpoint.

As often is the case, larger companies can pick on the smaller sites where it’s just a few dedicated fans who don’t have a real income or corporate backing from the site versus the larger tech sites who have plenty of lawyers at hand. It’s hard to see Sony having a real case, seeing how anything reported on a site like Xperiablog.net is public information and freedom of speech. If anything, the site empowers Sony Ericsson owners, while also giving Sony Ericsson a great place to dig in and research to see what their users want.

We’ve always personally had a good relationship with Sony, though this bit of news does concern us as our site is geared in the same way. Does that mean we could be next? However, I can promise you that we won’t go down without a fight if it comes to that. In the end, we wish the team at Xperiablog.net the best and hope that they move on to something even bigger and better. To readers who once saw Xperiablog.net as their home, we hope that we can serve you similarly.

Sony Ericsson Profits Drop for Q3, Ships 22 Million Handsets

by Sohrab Osati | Oct 14, 2011 | 4 comments

Sony Ericsson has just posted their 2011 Q3 earnings report with a mixed bag. The joint venture between Sony and Ericsson has had a rough time in the past few years against the onslaught of the iPhone and bitter rivalry in the Android community which had current CEO, Bert Nordberg reflect on the last few years. With profits dropping though, this could potentially play favorable for Sony who is looking to buy the remaining shares of Ericsson and bring the entire mobile operation in house.

Though profits have dropped, the company was actually able to break even for the quarter, versus the previous year which saw the company bleed out €50 million. This was mostly due to higher taxes, €17 million versus last years €12 million. Net profits were also down to zero, compared to last years €49 million ($67.26 million) during Q3 but better that Q2 of 2011 €50 million loss ($69 million).

Sales were also down for the year, to €1.59 billion ($2.18 billion) from €1.6 billion ($2.2 billion) last year. However, some things are starting to go right for the company which was able to shift 80% of its business to Xperia smartphones with 22 million units shipped. The company was also able to raise the average selling price of each phone to €166 ($230) versus €154 ($213) for Q3 2010 which should help the company reach a profitability faster. Units shipped were also down 9.5 million verse the high of 10.4 million for Q3 2010 but much improved when compared to 7.6 million for Q2 2011. Sony Ericsson CEO, Bert Nordberg had this to say;

“We will continue to invest in the smartphone market, shifting the entire portfolio to smartphones during 2012.”

After the jump, full PR and your chance to comment awaits you.

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Sony Ericsson Airs New Xperia PLAY Ad With a Minecraft Shrine in Mind

by Sohrab Osati | Oct 11, 2011 | 4 comments

We’ve always been fairly critical of Sony and their advertising campaigns, or lack there of. Sony Ericsson is no different though they did create some funny ads, starring Kristen Schaal, for the Sony Ericsson Xperia PLAY. However, these ads never seemed to make it past YouTube but a few hundred thousand views is better than nothing. Now, she’s back talking Xperia PLAY with a Minecraft challenge in store for you.

“I’m looking for a super-genius Minecraft wizard to slave away and build me something so extraordinary that I go into a coma for half a year,” declares Schaal. “I want a palace, a monument, something like a shrine to me.”

You can find the new ad after the jump.

Sony to Buy Ericsson, Bring Mobile Operations In-House

by Sohrab Osati | Oct 7, 2011 | 1 comment

Sony Ericsson is the joint venture between Sony Electronics, based in Japan, and Swedish telecommunications company Ericsson, to manufacture mobile phones. Established in October of 2001, the joint venture was meant to bring Sony soft and hardware design with Ericsson’s knowledge in telecommunications to produce world class phones. As we discussed in our previous post, such venture from the company worked and worked well pre iPhone. Since then, Sony Ericsson has lost its lead as a top handset manufacture which has the company barely treading at 6th place.

Now, Sony is looking at what it should have done years ago, to bring mobile handset manufacturing in-house by purchasing the remaining shares of the handset manufacturing from Ericsson. According to inside sources, talks are currently ongoing, though things are fragile and could break down at any point.

A deal “could amount to a huge financial burden on Sony,” said Hideki Yasuda, a Tokyo-based analyst at Ace Securities Co. with a “neutral” rating on the stock. “There could be a costly fee for using patents reserved by Ericsson.”

If the deal goes through, it’s expected to cost Sony 1.4 billion euros ($1.9 billion). However, the biggest obstacle currently is not the price tag (which is no small amount of money, especially for the cash-stripped Sony) but the more than 4,000 patents that Sony Ericsson controls, which is currently a 50/50 partnership.

One can imagine that if such a deal were to go through that the Ericsson name would be dropped and the Sony moniker would be the only name to appear on the phones, thus making it a simpler branding experience for consumers. By bringing all production in-house, Sony will also be able to better align future handsets with their product strategy and integrate their services without the need of split decisions and split design ideals.

On the Eve of iPhone 4S, Sony Ericsson CEO Reflects

by Sohrab Osati | Oct 6, 2011 | 15 comments

Did you know that once upon a time, Sony Ericsson was one of the top smartphone makers in the world? Things were much simpler pre 2007, specifically, pre iPhone. At that time, Sony Ericsson made a slew of custom UI smartphone and models that ran on Palm and Windows Mobile variations. Sure Blackberry was still king back then but only in the corporate world. Others and more importantly, the everyday public which was a large and untapped market, didn’t want bulky phones with Exchange and spreadsheets. Things were indeed good in those days where a products spec sheets still ruled the world and determined how a buyer would know if a product was worthy. With a name like Sony which has enjoyed a long heritage of quality products on the box, it was hard not for the joint venture between the two companies to be on top of the sales charts.

Now, the world is different. Sony Ericsson is no longer on top of the sales charts and has a hard time even cracking the top 5. So how does current CEO, Bert Nordberg see all this? We should also point out that Mr. Nordberg was not the CEO of Sony Ericsson, during the times mentioned. For one, he is happy with picking Android as the OS to use in their smartphone category and while others like HTC, LG and Samsung have also backed Windows Phone.

“At this point I wouldn’t feel comfortable investing in a platform that isn’t as good as the one that we currently use,” he said. “Therefore we have remained with Android, but I am quite curious about Windows Phone.”

Only in the last year alone and under Nordberg’s eyes, we’ve seen a plethora of Android powered phones from Sony Ericsson. Their current lineup includes though not limited: Xperia arc, arc S, neo V, Live with Walkman, mini, mini pro, Active and PLAY (for those playing at home, Sony does indeed use funky capital and none capital letters throughout their lineup). With nearly 15 Android powered phones in their current portfolio, Sony Ericsson has shifted a majority of their business practices from the traditional “dump phone” to the more lucrative and ever growing smartphone centric market. With so many phones at their disposal, it’s hard to imagine why Sony has yet to see real success from their shift to Android until you realize their lack of focus on the US.

Sony Ericsson has long been a power house in Asia and Europe. To this day, the majority of their sales comes from the international market and not the United States. Much like Nokia, Sony was slow to see the US as a growing and maturing market. With the launch of the iPhone, the entire mobile landscape would change. Traditionally exclusive to AT&T, the iPhone changed how people viewed smartphones. The demograph which was once only the business men in suits would soon change to teens, coaches and moms and dads. The iPhone would change the trajectory of the mobile landscape, leaving those who were slow to the realization of the new market and profits behind it to fall victim to loss of market share and profits.

Nordberg said, “it’s safe to say that Sony Ericsson should have taken the iPhone more seriously when it arrived in 2007.”

Taking the iPhone seriously however was only part of the problem. Sony, like every other manufacture relies heavily on OS makers to provide them with the software needed to power their phones. In the first two years of the iPhone, Google and their Android software were still in incubation while others can argue that Microsoft is still there. With no other software makers in the market, it’s hard to imagine thing’s being different had Sony taken Apple and iPhone seriously. However, in the last two years where other manufactures like Samsung, Motorola and HTC have taken advantage of the free OS provided by the folks in Mountain View, Sony has stumbled and continued to lose market share. This ties directly to Nokia’s problem as well which failed to see the US as a strong player. While both companies continued to sell their phones through channels like select retail stores and online domains, other handset manufactures were quick to cut deals with US providers like Verizon and AT&T. These partnerships would result on advertisement for their handset and dramatically reduced prices on the phones while Sony Ericsson had no marketing in place and full priced phones which were all between the $450-800 range.

Nordberg is hopeful that the current promotions on the Sony Ericsson Xperia PLAY will win over consumers as the company under his leadership begins to create more partnerships and promotions with US carriers.

Discuss:

How do you see Sony Ericsson in the mobile landscape? Are their offerings exciting while they lack the proper promotions and partnerships or is the problem somewhere else?

Verizon Offers Sony Ericsson Xperia PLAY for Free (limited time)(updated)

by Sohrab Osati | Oct 5, 2011 | 5 comments

We’re not entirely sure how long this deal is good, though October 6th (tomorrow) is the date we keep hearing tossed around, which has Verizon Wireless offering the Sony Ericsson Xperia PLAY for free with the traditional two-year contract. Previously AT&T had offered the Xperia PLAY 4G for only $49 which made it a steal and left Verizon with a $199 price tag. Now, Verizon has outdone the folks at Ma Bell by offering this PlayStation Certified, Android 2.3.4-powered smartphone for nothing. So if you enjoy gaming, like the folks in red, and Android is your OS of choice, we highly recommend jumping on this deal.

Updated:

The deal has now expired which has Verizon offering the Xperia PLAY for $49; still not too shabby.

Sony Ericsson Xperia PLAY Receives HD Video Capture

by Sohrab Osati | Oct 4, 2011 | 6 comments

Hot on the heels of Sony Ericsson’s release of Android 2.3.4 for the Xperia arc and Xperia PLAY, we’ve learned of an additional improvement for the Xperia PLAY which was not announced as an updated feature. Though the Xperia PLAY has always been equipped with a 5 megapixel camera, the lack of HD video recording and lone support of 480p video capture has been baffling. Now, the latest Android update from Sony Ericsson has unlocked the smartphone’s 720p video capture capabilities.

Android 2.3.4 Now Available for Sony Ericsson Xperia arc and Xperia PLAY

by Sohrab Osati | Oct 3, 2011 | 5 comments

If you own a Sony Ericsson Xperia arc or Xperia PLAY, it’s time to fire up your phone and check for a system update. Sony Ericsson is one of the first Android partners to be rolling out Android 2.3.4. The new OS update is designed to give Xperia arc and Xperia PLAY owners:

Video Google Chat
3D panorama camera feature
Swipe text input system
Screen capture
Enhancements to Facebook inside Xperia

Sony Ericsson LiveDock Promo (video)

by Sohrab Osati | Sep 29, 2011 | 20 comments

Just after showing us the LiveSound promo video, where Sony Ericsson was able to show us the features of their new accessory in under a minute without any craziness and rather simply got to the chase, the company has now followed up with the Sony LiveDock promo video. The Sony Ericsson LiveDock enables you to charge your phone while connecting video out, USB keyboard/mouse, and much more. This new and simple promo video from Sony Ericsson does a fantastic job of telling you everything you need to know about this device, something that Sony tends to struggle with when it comes to their marketing.

Sony LiveSound Headphones Provide Tangle Free Cables (video)

by Sohrab Osati | Sep 28, 2011 | 9 comments

Sony Ericsson is showcasing their new LiveSound headphones which come with their Android line of phones. The Sony LiveSound headphones are designed to provide a tangle free cable experience while also offering the superior sound found on other phones. Check out this promo video from Sony Ericsson.