Sony Mobile cuts 1,000 jobs flees Sweden
Struggling handset manufacturer Sony Mobile Communications on Thursday announced plans to reduce its global head count by 15 per cent or about 1,000 staff, as it reboots its operation structure. To further distance itself from the failed partnership with Ericsson, Sony Mobile will also move its corporate headquarters and certain other functions from Lund, Sweden, to Tokyo, Japan.
The cuts will be made before the end of March 2014, and are designed to increase operational efficiency, reduce costs and drive profitable growth. In a bid to drive greater integration with the wider Sony group, the company is also redefining the roles and responsibilities of major development sites in Tokyo, Japan, Lund, Sweden and Beijing, China to leverage the strengths of each respective site.
The vast majority of the cuts will come from Sweden.
“Sony has identified the mobile business as one of its core businesses and the Xperia smartphone portfolio continues to gain momentum with customers and consumers worldwide,” said Kunimasa Suzuki, president and CEO of Sony Mobile. “We are accelerating the integration and convergence with the wider Sony group to continue enhancing our offerings, and a more focused and efficient operational structure will help to reduce Sony Mobile’s costs, enhance time to market efficiency and bring the business back to a place of strength.”
In related news, a leaked device appears to be an entry-level Sony Xperia J, bringing Android Ice Cream Sandwich to the masses for around €150. The device is expected in September.