Sony has sold many Bravia TVs in the recent years but they have had a hard time turning those sales numbers into profit. Therefore Sony plans to make significant changes to their TV division. The plan will be announced later this month and Sony is evaluating every opportunity.
Sony plans major changes for TV division
The TV industry is a hard one. The traditional Japanese manufacturers are experiencing fierce competition from South Korean players such as Samsung and LG, which have seen significant growth in the recent years.
In 2010 Sony introduced a completely revamped TV line-up with internet TV and 3D as major sales drivers. However, the effect has not helped Sony turn their losses into profit. Sony has also lowered their sales forecast to 22 million TVs in 2011, down from 27 million TVs. And Sony forecasts another loss in their TV division this year.
Sony may be planning to discontinue cheap TVs and focus on more expensive models
Therefore Sony has planned to completely reform their TV business. Later in August Sony will reveal concrete plans that they hope can turn their TV business profitable again. According to Sony no “stone is left unturned” and even partnership will be considered.
"Even though we haven't yet decided how to announce the plans, they'll be implemented immediately" Sony says to Nikkei.
According to Reuters, Sony will focus on selling fewer TV, but with higher margins. This could mean that cheap Sony TVs sold in warehouses will be discontinued, in order to support a higher-end TV strategy.
FlatpanelsHD will keep you updated with more information as soon as possible
- Source: Nikkei / Reuters, Via: Engadget
Sony plans major changes for TV business
