Sony is happy with Apple iPad

It is perhaps surprising to see that Steve Haber, President of Sony’s Digital Reading Division, has expressed his satisfaction to the arrival of Apple iPad tablet. Sony has its own e-book reader and iPad is thought to be a device that would give every e-book reader of every company a run for their money. So, why, Mr. Haber is welcoming iPad?

In fact, he said, "The introduction of another mobile device, which includes digital reading as part of its functionality, is a good thing for the digital book business. Mobile devices with reading capabilities will play a key role in the paradigm shift from analog to digital content. At Sony, we’re focused on devices optimized for digital reading and believe that digital books sales will surpass print sales within five years, if not sooner."

The essence of his statement is that because of iPad, many people would not feel interested about e-book readers and reading digital content will become popular. Naturally, the market will become bigger and Sony will get good profit from the expanding market.

I agree with Mr. Haber because still now, most people are habituated to read books printed on paper not in digital screen. 

Sony suffer loss after many years

Sony is a very popular brand name in the whole world and although it is a Japanese company, it is perhaps more famous than outside of Japan. In many countries, a Sony television is considered to be some kind of symbol of prestige and many people rely on the brand name more than many brands as we know. So, it is very shocking to see that after fourteen years the company suffered annual loss of nearly one billion dollar. It has happened mainly because the amount of sells has decreased in many countries because of economic recession.

As you know, Sony is a major leader in the field of consumer goods. Naturally when the economy is down, many people are not interested about consumer products but they go for necessity products like food and medicine. Many of them have lost jobs and naturally they are worried and they do not want to buy expensive television or a video game. Sony also makes some very good laptops and now it is the time of netbooks but what I can find is that until now, the company has not taken the market of netbook seriously in fact Sony does not have any netbook until now. So, I believe that it is something that the company can look forward to if they want to become more profitable. It should be mentioned here that last year, Sony announced that it made three billion dollar of profit in the previous twelve months. So, it shows the amount of damage that economic recession has done to Sony. 

Sony introduces new service with its Play Station 3

If you own a Plays Station 3 and if you are a resident of the USA, then there is great news waiting for you. From now on, you can download movies and episodes of your favorite television series from the internet with your Play Station3 console. On June 26 2008, Sony Corporation (TYO:6758) said that they are going to introduce this new system in the USA within weeks. Sony has been working on this service since 2006. Sony Computer Entertianment CEO, Kazuo Hirai, said that the service is going to be launched in the USA and then it will be introduced in Europe and Asia. Guardian reports:

Hirai did not go into specifics about the facility and observers expect further pronouncements about the initial library of titles at next month's E3 gaming convention in Los Angeles.

What will be of interest is where the content will come from. Sony's film studio has naturally pledged allegiance to the cause but so far supply deals from other studios have not been completed.

From this autumn, Sony Corporation will also launch a new video service that will allow owners of its Bravia television to access the Internet and stream content.

Related article:
Guardian

Sony Corporation's share falls by 4% after announcing its business strategy

After Sony Corporation’s chairman, Howard Stringer, announced the company’s new strategy, Sony Corporation observed a 4% fall in its share prices.

On June 26 2008, at a press conference in Japan, chairman Howard Stringer said that Sony Corporation (TYO:6758) is going to increase the number of online products and target the emerging markets for its seven types of business. However, investors are not sharing Stringer’s optimism. Looking at the unfavorable economic conditions, they are losing interest. Reuters reports:

Sony said on Thursday it aimed to double revenues from the fast-growing markets of Brazil, Russia, India and China to 2 trillion yen ($18.7 billion) and invest 1.8 trillion yen in key businesses and technologies as part of a three-year strategy.

"Sony's shares are not being sold because investors thought the mid-term business plans were negative. The plans are not bad," said Soichiro Monji, chief strategist in the equity management department at Daiwa SB Investments.

Interestingly, at the flat market on Thursday Sony’s stock gained 2.8% but in the morning session in today’s stock market, share prices of Sony Corporation dipped 4% at 4860 yen.

Related article:

Reuters

Sony targets the emerging markets to increase return on equity in the next three years

The current fiscal year has been tough for Sony Corporation (TYO:6758), one of the largest consumer electronics company in Japan. All the major products of the company lost to its competitors. Its share price also fell at the Tokyo Stock Exchange. Now, the company is desperate to be back in business. Recently, in a press conference, Sony Corporation’s Chairman Howard Stringer announced to increase the companies Return on Equity (ROE) to 10% in the next three years and level the company’s profit margin with that of Samsung Electronics Co. Ltd.(SEO: 005935) and Nintendo Co.Ltd.(TYO: 7974) This new target is double the company’s current ROE level of 5.8%. Chairman Howard Stringer also failed to meet the earlier operating margin target. Bloomberg reports:

``Sony will lose its place as a global leader if its ROE stays lower than 10 percent,'' Mitsushige Akino, who manages $557 million at Ichiyoshi Investment Management Co. in Tokyo, said by telephone. ``The company will face enormous difficulty should it fail to achieve it.''

Return on equity, or profit divided by book value, measures the earnings generated on the investment by shareholders. Matsushita Electric Industrial Co., the world's largest consumer- electronics maker, plans to raise its returns to 10 percent by next fiscal year.

When asked about his strategy, Stringer said that his company will increase number of products that are sold online. Sony will also target the emerging markets such as, Brazil, Russia, India and China over the next three years. Sony will focus on its seven businesses in these markets.

Related article:
Bloomberg

Sony is working on a new game controller for Play Station 3

For its next generation gaming console, PlayStation 3, Sony is now developing a new type of controller. According to news reports, the new controller is inspired by the design of Wiimote game controller. This new controller can be broken into two units, each having their own accelerometer. Video Game blog, Kotaku, denied the rumor and said that Sony is going to create a new device which can be attached to the gamer’s body. Kotaku received news from an unmanned source which said that the new device will consist of four/five parts that will be attached with gamer’s body to move the characters. However, Sony did not comment on the rumors. This April, Sony launched its DualShock 3 controller with rumble capabilities in the USA which was announced by Kazuo Hirai, CEO, Sony Computer Entertainment Inc. in the 2007 Tokyo Game Show. eFluxMedia reports:

Initially, Sony claimed that rumble capabilities are not “next-gen” features, but one of the main reasons for which Sony did not include rumble features into the current SIXAXIS controllers for PlayStation 3 was the patent lawsuit filed by Immersion, which owns the intellectual property over some key aspects of the technology integrated in PS2’s DualShock controllers.

After settling the lawsuit with Immersion in March 2007, Sony was quick to announce DualShock 3 that went on sale in Japan in November last year as a separately sold accessory. The non-rumbling motion-sensing SIXAXIS controller has been discontinued.
Two months ago there were some rumors that Microsoft is also working to develop a Wii-like controller for its Xbox 360.

The new controller, code-named Newton will have a design similar to that of Wii remote and include a four face buttons, an analog stick, a microphone and a gyroscope sensor to detect tilt and motion.

Related article:
eFluxMedia

Bertelsmann AG wants to sale its share of Sony BMG Music Entertainment to Sony

Bertelsmann AG, one of Europe’s biggest media companies is going to sell its share of Sony BMG Music Entertainment to Sony. Though the two parties have not disclosed any information but from various news sources it has been confirmed that Bertelsmann is going to sell its share of world’s second largest music label. Bertelsmann is asking for $1.5 billion but Sony would settle for $1.2 billion- $1.3 billion under the fulfillment of certain conditions which might include extension of Sony BMG’s agreement with arvato AG to supply production, packaging and distribution services for Sony BMG. Bertelsmann’s CFO, Thomas Rabe, held two meetings with Sony America’s finance boss Robert Wiesenthal in New York last month. The Hollywood Reporter reports:

Sony and Bertelsmann's current agreement runs out August 2009 but sources believe a deal is likely by this fall and could even come before Bertelsmann's half year results are announced August 28. A Bertelsmann spokesman Wednesday told THR "no decision had been made" regarding the Sony BMG stake and declined to comment on what he termed "market rumors."

Bertelsmann CEO Hartmut Ostrowski has made it clear a BMG sale option is on the table as he moves to focus on the German media giant on its high-growth core businesses.

Currently Sony BMG is the second largest music company in the world with artists including Sean Kingston, Avril Lavigne, Neil Diamond, and Alicia Keys.

Sony and Bertelsmann started this joint venture in 2004 and according to their contract, it was supposed to continue till 2009. News of Bertelsmaan’s exit first came on The New York Times a week ago followed by a report in German newspaper, Frankfurter Allgemeine Zeitung (FAZ), on 10^th June. Today, German broadcaster, Deutsche Welle, confirmed the news. The main reason behind Bertelsmaan’s exit was low profit margin as CD sales fell down. In September 2006, Bertelsmaan sold its BMG Music Publishing business to Vivendi.

Related articles:
The Hollywood Reporter

Forbes

Beta News

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Sony's announces its new back-illuminated CMOS image censor

Sony has announced a new back-illuminated CMOS image sensor that will improve the still picture quality in still cameras and camcorders. This new back-illuminated CMOS image sensor comes with 1.75µm square pixels, five effective mega pixels, 60 frames/s. The image sensor has nearly twofold sensitivity and low noise and other enhanced imaging properties which has been achieved by illuminating the backside of the silicon substrate. Gizmodo reports:

In the new design, however, most of the photons goes through the on-chip lens and color filter directly into the new photo-diode structure, while the transistor layer sits at the bottom of the sensor. According to Sony, "that achieves a higher sensitivity of +6dB and a lower random noise of -2dB without light by reducing noise, dark current and defect pixels compared to the conventional front-illuminated structure."

Sony is planning on introducing the new technology in their next generation cameras, and hopefully we will see it in other products, especially cellphones.

The best thing about Sony Ericsson phones is that each of the phones fulfills different requirements of the users. Sony Ericsson walkman phone is the ultimate gadget for music lovers. On the other hand, if you enjoy taking pictures, then Sony Ericsson Cybershot is the best buy for you. This new technology will definitely be a big boost for Sony Ericsson cyber shot phones, cameras and handy cams.

Related articles:
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Infosyncworld

Digital Camera Review

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Earth quake forced to change Sony and Sharp's sales projection in China

The May 12^th earthquake has been a major shock for the people of China and this is also hurting the business of the country. Sony Corporation (TYO: 6758) and Sharp Corporation (TYO:6753), two of the largest Japanese electronics companies are expecting lower sales for unknown period of time. Normally, summer is a big sales season but the death and destruction has spoiled people’s mood for shopping. Every day, they are seeing death and destruction on the television. Sony’s camera sales has dropped 20% and it has changed its Bravia TV sales projection. Sharp Corporation, Japan’s largest LCD monitor producer is also expecting lower sales due to earth quake shock. Bloomberg.com reports:

China's electronics sales may have fallen 10 percent in May from April because of the quake's impact on consumer spending, said Kevin Wang, a Shanghai-based analyst at researcher iSuppli Corp. Retail sales in the world's fastest-growing major economy probably slowed last month after surging the most since 1999 in April, based on economists' estimates compiled by Bloomberg.

Sony rose 1.1 percent to 5,480 yen at the end of trading on the Tokyo Stock Exchange, while Sharp fell 1.9 percent to 1,778 yen. The benchmark Nikkei 225 Stock Average climbed 1 percent.

Sony has delayed its promotional offers to liquid-crystal display. Best Buy Co.Inc. (NYSE:BBY) the largest US electronic store chain also postponed plans to bring Japanese all-girl band Morning Musume to China. Despite the emotional shock of the people, Sony is expecting to sustain a higher than 30% sales growth.

Related article:
Bloomberg.com

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Sony revealed Home's event venue but not sure about its release date

Sony unveiled the event venue of 'Home', its interactive virtual world,last week to the selected members of its Home beta test. The company recreated Play Station Day 2008 in Home’s Media and Events Space. The space created will be given to the companies for displaying their advertisements and event. Wired.com reports:

"As well as looking great, the Media and Events Space is flexible and user-friendly - it’s a real focal point for our virtual community," said Home producer Martijn Van Der Meulen. "This was a very exciting first event and we’ve already received plenty of great feedback."

I appreciate Sony showing off new features as much as the next guy, but I've been waiting since Home originally debuted (Game Developers Conference 2007, almost 15 months ago) to actually get to play around with the thing.

Home is a virtual world created by Sony where its gamers could meet and chat; just like Second life. Sony unveiled the program in March 2007 at the Game Developers Conference. The main problem is Sony has not been able to launch it on time. According to David Reeves, president Sony Computer Entertainment Europe, Sony’s original vision for home to include non-gaming applications and sponsors diverted its attention away from the gamers. Reeves also said that if Home’s Fall release had been postponed it will be definitely launched in autumn. On the contrary, Sony President Kazuo Hirai said that Home will not be released until he is happy with the final product.

Related articles:

Wired.com

Wired.com

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Sony Bravia KDL-52XBR4 Review at PC Magazine

Most people in Asia cannot dream of buying a TV set with $4,000. In fact, most families in Asia even cannot earn $4000 in one year. However, there is no shortage of rich people in the world and they surely can afford such TV sets. Sony Bravia KDL-52XBR4 is such a TV set and it has some excellent features. Color is one of its strong points and watching any program in Sony Bravia KDL-52XBR4 TV will surely be an amazing experience for the consumers at first. Of course, gradually, you will get habit to it.

PC Magazine has an excellent review and you can find the full review here: Sony Bravia KDL-52XBR4

Sony does not think Microsoft or Nintendo as competitors

In terms of handheld games Sony thinks that it does not compete with either Nintendo or Microsoft. PS3 News:

“I think that PS3, PS2 and PSP are all entertainment platforms so I feel that our competition is not Microsoft or Nintendo, but basically any form of entertainment that is competing for the consumers’ attention,” SCE president Kaz Hirai said in an interview with MCV.

“So we need to make sure we offer the most compelling entertainment – not videogame but in in general. I can’t speak for their strategy but I like to think that we’ve got a very well balanced portfolio with PS3, PSP and you can’t discount the PS2.”

Sony is proud about the fact that their Play Station 3 has taken the lead from Xbox 360.

Related article:

PS3 News

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Preview of Sony Cybershot W150 Camera

Sony Cybershot W150 seems to be an attractive pocket sized camera with 5X optical zoom. The 8 megapixel compact camera comes with the optical image stabilizer which lets its users take clear photos. Though its size is pretty enough to put it into your pocket, you might find it a bit bulky, compared with its competitors. However, it has a stunning look with brushed metal finish. Sony Corporation (TYO:675) offers some attractive features with Cybershot W150 camera.

The camera provides a LCD display on the back. There are zoom, scene wheel and some other buttons on the back too. Sony Cybershot W150 camera has its power and shutter button on the top. There are different modes given in its menu. The smile shutter option of Sony Cybershot W150 camera lets the device wait until the subject, that is going to be snapped, smiles.

Stuff reported:

Spinning the scene wheel brings up a quick description on the screen. Modes on the wheel include the usual suspects - auto, movie, nighttime, landscape, as well as an "Easy" mood to locks out most of the settings (so you or other people can't accidentally bugger something up).

Best of all is the "Smile Shutter" which waits until the subject smiles before snapping the shot. You can adjust the sensitivity of this.

There are shortcut buttons for playing photos and videos, seeing a slideshow of your photos (with music), bringing up the menu, and a Home button which lets you access the setting, printing and memory card.

The Cybershot W150 camera from Sony seems to be very gorgeous too. It provides its users with a 2.7 inch LCD screen which is bright and clear. Play button is a bit small that makes some problems while going though the pictures. The camera can capture video of 10 minutes. Another interesting feature of Sony Cybershot W150 camera is face detection whereby the camera focuses only the faces its users have set. You can set either adult or the child faces which the camera will focus on while taking the snap. So, optical stabiliser, smile shutter and face detection are the main advantages of Sony Cybershot W150 camera.

sony

sony Cybershot W150

Sony's Livespire : A theatrical revolution

On May 9, Sony Pictures Entertainment Incorporation announced to distribute its digitally filmed live sports and other events in Japanese theatres. The new service called Livespire will be launched on May 10 2008. On that day, “Riding the Metro,” a musical will be shown in three 109 Cinemas chain theatres. Operated by Tokyu Recreation, Sony will show the musical in four more 109 theatres by June. Variety reports:

In June, in cooperation with the Amuse talent shop and the Nelke Planning legit theater company, Sony will also distrib the musical "Frogs” in four theaters in the 109 Cinemas chain.

The musicals are shot using Sony CineAlta HDC-F950 cameras, while Sony subsid Sony PCL handles filming and editing. Sony plans to use the Livespire service to market not only digital content, but its digital hardware, including the Sony-developed system for digital theater projection.

Within the current fiscal year, Sony will expand this service to 10 theatres and film five live events. Currently, only 100 Japanese theatres have digital projection systems but this number will increase in the next three years.

In my opinion, it is a very good business. Till now, we know that movie theatres only show movies but not any more. The 80^th Academy Award ceremony was shown by projection in various places all over America. With this new arrangement of Sony, now people can enjoy such events in theatres just like movies.

Related article:

Variety

sony

Sony Offers PSP Headset with Remote Control to Make Free Skype Calls

Sony has launched a headset with remote control for the users of PSP firmware version 3.90 video games. Using PSP handheld, users can make Skype calls and receive calls from any landline or mobile phone. So, if you have Skype software saved on a Memory Stick Duo card then you can make free calls over the internet. PSP handheld was released in March 2005 in the U.S.

The new stereo headset with remote control and adjustable microphone cost $29.9. So far, PSP handheld has been sold 34 millions of units across the world. No doubt, it is an interesting feature that PSP users can call over internet via Skype. Now, let us see if new stereo headset triggers the sales of PSP handheld in the U.S. market.

Related article:
punchjump

Sony PlayStation 3 (PS3): Good Time Ahead?

Sony PlayStation 3 (PS3) is 1 and half years old now but it is still very popular to the crazy gamers. It is not that there are too many companies in gaming console market but very fierce competition exists among them. Nintendo is doing better than Sony at this moment but Sony Computer Entertainment President Kaz Hirai is confident that PS3 will have a very bright future.

BBC wrote:

Mr Hirai said Sony was engaged in a "marathon" race with Nintendo and Microsoft.

More than 10.5 million PlayStation 3s were sold worldwide by the end of 2007. To date, in Europe more than five million PS3s have been sold.

Nintendo had shipped more than 25 million Wiis worldwide by April this year, while Microsoft reported 19 million 360s shipped by the same period.

SONY CORPORATION (TYO:6758) has good time at this moment. The profit of Sony at the current financial year was good but not as much as expected. Let us if PS3 can improve the fortune of the company.

GT Academy : The ultimate challenge for Gran Turismo gamers

Are you a Gran Turismo fanatic? Well, here is a life time chance for you. Sony Computer Entertainment Europe and Nissan Motor Company Limited (TYO:7201) has launched a program titled GT Academy. Under this program, the European Gran Turismo gamers will compete among themselves in video games and real life racing tracks for eight months. The winner will receive a four month training to earn his/her racing license. Not only that, the winner will also participate at 24H endurance race in Dubai with the Nissan racing team. Daily Tech reports:

Sony and Polyphony Digital have given Gran Turismo, its flagship racing game series, the title of being “the real driving simulator.” Anyone who took that line to heart now has the chance to prove just how realistic Gran Turismo truly is, at least in Europe.

Sony Computer Entertainment Europe and Nissan unveiled earlier this week a special program called the GT Academy. Gamers will be able to participate in an eight-month, pan-European competition composed of a series of elimination-based competitions on and off the racetrack, which will start at a national level with an online GT5 Prologue tournament hosted on PlayStation Network.

The winner at the end of the competition will be awarded a four-month training program to earn their racing licenses, followed by a real-life race driving a Nissan 350Z as part of the Nissan team at the 24H endurance race in Dubai in January 2009.

According to Sony Computer Entertainment Europe’s President David Reeves, Gran Turismo is one of the most successful gaming franchises of the last decade. He said that the GT Academy program brings together the virtual and the real world of racing.

Truly, this is a life time experience. Playing racing game can be exciting but no matter how realistic it is, driving a real racing car in a racing circuit is all the more different and difficult. Let’s see who is the lucky winner of GT Academy program.

Related article:

Daily Tech

Top 5 Mobile Phone Companies: How they are Doing?

Did you know that of the top 5 mobile phone companies in the world now, 2.5 companies are from Asia? If you did not know this information then no problem. Read the whole entry and you will came to know about it. Since, this is a blog about Asian Business therefore, I am excited with this news. Interesting thing is that Korean companies are now coming forward and dominating in the mobile phone sector. Well, the other half is non Asian and I am talking about all the 5 top names in Mobile Phone world today.

1. Nokia: Nokia has around 40% market share in the world now. Nokia Corporation (NYSE:NOK) is a Finnish company and it has continued to impress everyone year after year. Nokia is very strong in Asia and you can be quite sure that mobile phone industry will witness massive growth in China, India, Pakistan, Bangladesh, Indonesia (together they have over 1.5 billion population) for years to come as mobile phone penetration is not even 50% in these countries. Unless, something terribly goes wrong for the company, Nokia will surely dominate in the mobile phone market for quite some time. It seems that Nokia has by default the first position and other companies have to try for the second position.

2. Samsung: What makes me very interested about Samsung is that it is a very diversified company. I mean that Samsung Group is engaged in different kinds of business sectors. You know that Nokia is totally focused on telecommunication sector but Samsung produces many items. In fact, Samsung Electronics Co., Ltd. (SEO:005930) is a part of Samsung Group and even Samsung Electronics Co., Ltd. Produces a wide range of products- not just mobile phone sets. Thus it shows that Samsung has a strong and good management team who are good at their business. One thing that Samsung has tried to do in the last few years is that to offer a wide range of mobile phone sets. Samsung also is strong in R&D.

3. Motorola: I guess that many of you did not expect Motorola to be here in the third position. Motorola is having a tough time. First of all, the company is finding it very difficult to make profit. In Q4 2007, Motorola, Inc. (NYSE:MOT) suffered over $1 billion loss in the mobile phone handset business. To add insult to injury, Motorola lost around 9% of market share (from 18.4% in 2007 to 9.7% now) in the world. In the last one year, Motorola slipped a lot and fell behind Samsung and became third largest mobile phone maker. Motorola is traditionally strong in the US market. It is still doing well in the US market. However, I think that this is the main problem for the company. The US market is already over saturated and last year, iPhone got all the media attention not any model of Motorola. Another problem is that both Samsung and LG have put up a strong fight against Motorola in the US market.

4. LG: In 2008, LG seems to be the emerging giant in mobile phone world. Only 2-3 years ago, many people in the mobile phone industry did not consider LG as a top class player. Well, this has changed a lot in 2008. LG is now the 4^th largest name in mobile phone industry. LG has overtaken Sony Ericsson. The main strength of LG is perhaps in its ability to produce a lot of models at a short time. LG has also taken the Asian market seriously. LG has invested a lot in Indian market in the last two years. At the same, LG is doing well in the US market too. The same goes for Samsung. These two Korean companies are performing both in the rich American market and not so rich Asian market. LG is also investing heavily in R&D and while Motorola failed to make any profit, LG saw its profit soaring in mobile handset business.

5. Sony Ericsson:Neither Sony nor Ericsson now makes any mobile phone set. Rather, the joint venture company, Sony Ericsson produces handsets. Sony Ericsson is famous to many Tennis fans because it is the sponsor of Women's Tennis Association (WTA) and you know that WTA is the place for some of the most beautiful and popular female players on earth (like Sharapova and Ivanovic). So, Sony Ericsson should not have any problem about branding and visibility. That is why, I am surprised to see that LG could surpass Sony Ericsson. Well, it seems that Sony Ericsson will face a tough time in future and it may follow the example of Motorola. By the way, I said 2.5 of the top 5 mobile phone companies are Asian because Sony Ericsson is half Asian (Japanese Sony) and half European.

Four months of 2008 have passed. I am not sure if there would be any major change in the ranking of these 5 companies in the rest of the year. There is a slim possibility that LG can overtake Motorola and become number 3 mobile phone handset makers in the world.

Will it happen? What do you think?

Related Article

Business Week

Sony: Good Profit but Not as much Expected

Sony Corporation (TYO:6758) had a good time this financial year (2007-08) and it has earned some healthy amount of revenue and profit. However, the profit fell just a bit short of prediction of some analysts and it has become media headlines in many websites.

I am giving you links to some reports of some websites in this regard:

Sony 07/08 profit to quintuple but miss target: report

Sony likely to miss profit target: Report

If you look at the headlines of these two reports then you may get an idea that Sony did not do that well in the last financial year. Well, Reuters wrote: “operating profit likely jumped more than fivefold to 380 billion yen ($3.6 billion) on strong sales of digital cameras in the year just ended, but it missed the company's forecast by 30 billion yen, the Nikkei business daily reported.”

So, you can easily see that Sony had a good year financially.

Sony

business