Sony Electronics Undergoes Major Reorganization
As the boundaries between audio, video, and information technologies continue to blur, so will the corporate boundaries between Sony">http://www.sel.sony.com">Sony Electronics' audio, video, and information-technology divisions. Last week, Sony announced the creation of a new organization that the company says integrates its A/V and IT companies into one overall "Consumer Electronics Group," or "CEG." Sony adds that the new structure combines the company's Consumer Products Marketing Group and its Personal Network Solutions Company into one organization. Fujio Nishida was named president of CEG; the new organization will become effective April 1.
Sony Expands License for Phase-Change Optical Disc Technology
On March 12, Energy">http://ovonic.com.">Energy Conversion Devices, Inc. announced that Sony">http://www.sony.com">Sony Corporation has expanded its royalty-bearing license under ECD's proprietary phase-change rewritable optical-memory technology to include advanced technology for use in rewritable CD and DVD optical-memory products. Phase-change technology, invented by ECD, is used in PD and CD-RW rewritable optical-memory discs.
Sony Goes All-Out with High-Resolution Audio
On Thursday April 24, Sony announced a new round of reasonably priced products, all of which are capable of high-resolution audio playback. Sony's unequivocal embrace of high-resolution audiothe acronym HRA seems to have become the mutually accepted, industry-wide termwas the main order of business. Defining HRA as everything greater than Red Book CD (16/44.1k) Jeff Hiatt, the company's Director of Home Audio (above), began by stating, "We have sacrificed quality in order to get convenience. MP3 has been degrading the quality of music, and was a quantum leap backwards. The young generation doesn't even realize that they're not listening to music as the artist intended it be heard."
Sony in a Slide?
Reuters has reported that Sony">http://www.sony.com">Sony Corporation is experiencing a 20% drop in profits this year, brought about by poor showings from audio and video product sales, slow markets, price wars, and a lack of hit records. The report also stated that the electronics sector, which normally generates the bulk of Sony sales, saw operating profits decline by more than half compared to the previous year.
Sony Introduces Walkman with Download Capability
The Walkman is 20 years old. As part of its celebration of one of the most successful audio products in history, Sonyhttp://www.sony.com/">Sony; has introduced its first personal music player with the capability of downloading music from the Internet. The new Walkman employs Sony's "memory stick" technology to store audio files as large as 32 megabytes. The latest Walkman, which was unveiled last week in Japan and New York, is expected to retail at approximately $400 and should appear in stores in January.
Sony Music and BMG
Sony Music Entertainment and Bertelsmann Music Group could soon be one.
Sony Q3 Results Confusing
The past several months haven't been kind to the electronics industry. Most manufacturers are suffering from slow sales and backlogged inventory. But one company is painting a slightly different, if confusing, picture. Unless you've drastically slashed margins while quadrupling sales volume, the phrase "record quarterly sales but decreased profits" appears self-contradictory. Yet Sony">http://www.sony.com">Sony Corporation is claiming exactly that for the last quarter of 2001, the company's third fiscal quarter. (Most electronics manufacturers begin new fiscal years April 1.) On Friday, January 25, Sony announced a 14.4% decline in overall profits for the final three months of 2001, due to sagging demand for consumer electronics products. The company reported that sales of electronics decreased 2.8% to ¥1.55 trillion, with operating income for its electronics unit down a stunning 47% to ¥71 billion. The same announcement claimed an all-time quarterly sales record for Sony Corporation as a whole.
Sony Qualia Announced
Sony announced last week that it has created a new brand product line intended to identify its highest end products: Qualiahttp://www.sony.net/SonyInfo/QUALIA/">Qualia;. Initially, the new line will launch only in Japan, and will include both audio and video products in addition to a small pocket camera. Sony President Kunitake Ando had previously suggested the line would launch by March 2003.
Sony Settles Payola Investigation
On July 25, New York State Attorney General Elliot Spitzer announced that Sony BMG Entertainment had agreed to "stop making payments and providing expensive gifts to radio stations and their employees in return for 'airplay' for the company's songs."
Sony Signatures to Host Billy Joel Memorabilia Auction
Billy Joel has decided to clean out his warehouse. Next month, the veteran rocker's almost-30-year-old collection of musical instruments, recording equipment, and stage gear will be put up for public auction by Sony">http://www.ssi.sony.com/">Sony Signatures, his merchandising company. A portion of the gross from the "Billy Joel Memorabilia Auction" will be donated to VH1's">http://www.vh1.com/">VH1's Save the Music Foundation, according to Dan Cooper, Senior Vice President of Sony Signatures' music division.