Sony who are already bleeding billions in their Playstation and Bravia TV divisions are now facing losses in their mobile phone Company Sony Ericsson who on Friday reported $250 million dollars in losses as they struggle to compete with Apple and their iPhone, HTC and the popular Blackberry from RIM.
Sony who are already bleeding billions in their Playstation and Bravia TV divisions are now facing losses in their mobile phone Company Sony Ericsson who on Friday reported $250 million dollars in losses as they struggle to compete with Apple and their iPhone, HTC and the popular Blackberry from RIM.
Losses for the same period in 2008 were $17 Million dollars.
Sony Ericsson who has admitted that they have a brand image problem, has managed to raise additional capital said that sales in the quarter fell more than 40 percent. Units shipped in the July-September period amounted to 14.1 million, up 2 percent on the quarter, but down 45 percent on the year.
Sony Ericsson said it had strengthened its balance sheet by securing US$676 million in external financing facilities, primarily from parent companies Sony and Ericsson.
In April, Sony Ericsson announced it would slash 2,000 jobs, on top of 2,000 jobs cut last year, to lower costs.
In its outlook for the future, it said it expects the global handset market to shrink by around 10 percent from about 1.19 billion units in 2008.
Outgoing Sony Ericsson President Dick Komiyama said the company had worked at strengthening its image during the quarter. “Having refreshed our brand we are now better positioned to support the launch of new products,” he said.
