Slashdot Mirror


Sony To Cut About 10K Jobs

Pichu0102 writes "Reported by the Washington Post, Sony says it will cut about 7% of its jobs as well as sell about $1 billion of it's assets. It also will declare a loss for this year." From the article: "To help boost efficiency, Sony said it has abolished the company system that Stringer said was preventing different business units from communicating freely, causing overlap in development and missed opportunities in the market. The electronics group will be reorganized to place centralized decision-making over key business areas under Ryoji Chubachi, who became Sony's new president and electronics CEO in a major overhaul of management in June." Another reorg on the heels of Microsoft's decision from earlier this week.

178 comments

  1. Heh by daniil · · Score: 0, Troll

    Must be the pirates' doing. Now you see what p2p can do.

    --
    Man is a slave because freedom is difficult, whereas slavery is easy.
    1. Re:Heh by infonography · · Score: 1

      I doubt it, Their content side is pretty profitable, the Music and Video is doing fine and so are the Games groups.

      Much of the core jobs they will be killing off will be in the dead end lines like PS2 and PS3. Sony is getting away from console games and right into implant based ones.

      A small surgical procedure and you get both full sensory control of your game space and feeding tube with an optional caffine drip right into your blood stream.

      Who needs Heroin when you got SimStim?

      --
      Sorry about the writing. Robot fingers, you know? Cliff Steele in DOOM PATROL #23
    2. Re:Heh by squiggleslash · · Score: 1
      Nonsense, this is just more evidence that UMDs are really taking off!

      (Isn't that Sony's comment about everything these days? "We've managed to sell ten UMD disks to the five people who bought PSPs! That's 200% market penetration!", "We've sold more UMD copies of last year's blockbuster than the poorest selling DVD sold when DVDs came out! Therefore they're successful!", "Three new people have bought PSPs! This proves UMDs are taking off!", "We've had to sell the Vaio line to Amstrad, because otherwise we just wouldn't have the production resources to make the sell-out UMD systems!", "People aren't buying mini-discs any more. Isn't it obvious? They want UMDs instead!", "We just had a bunch of UMDs returned! This means people are going out there and buying them!")

      In all seriousness, this sucks if you're working for Sony, and I hope the poor bastards directly affected by this are able to find work quickly.

      --
      You are not alone. This is not normal. None of this is normal.
    3. Re:Heh by kfg · · Score: 1

      Finally I'll be able to play The Matrix on the matrix.

      KFG

  2. Sony going Open Source! by scovetta · · Score: 4, Funny

    Sony said it has abolished the company system that Stringer said was preventing different business units from communicating freely...

    Sony is going Open Source???

    --
    Wer mit Ungeheuern kämpft, mag zusehn, dass er nicht dabei zum Ungeheuer wird. --Nietzsche
    1. Re:Sony going Open Source! by sloths · · Score: 1

      But will it be Linux?

      --
      really 867993
      Karma schkarma
    2. Re:Sony going Open Source! by the+hermit · · Score: 1
      Everybody working in the electronics group will have a bumper sticker that says "Chubachi is my co-pilot"...

      Chewie is my co-pilot!

  3. What the hell is going on? by dauthur · · Score: 1

    Hmm... something about this sounds fishy. Outsourcing, PS2 and other suches do not sound like "a loss for this year". Sony should be booming, considering. Perhaps it's a marketing technique? We'll soon see.

    1. Re:What the hell is going on? by Arminius · · Score: 2, Insightful

      No, it's just Sony trying to maximize profits in order to please the shareholders. Biggest source of expense in a company is usually payroll.

      --

      ------
      Never underestimate the power of stupid people in large groups.
    2. Re:What the hell is going on? by EzInKy · · Score: 1


      Hmm... something about this sounds fishy. Outsourcing, PS2 and other suches do not sound like "a loss for this year". Sony should be booming, considering. Perhaps it's a marketing technique? We'll soon see.


      No, nothing's really fishy. Excepting the play station, how many electronic products do you consider buying that have Sony at the top of the list?

      --
      Time is what keeps everything from happening all at once.
    3. Re:What the hell is going on? by dauthur · · Score: 1

      VCR, DVD player, PS2, PSP, PS3 (When it comes out), phones, stereos, car disc players, Walkmen, MP3 players. That's a lot of money to be had.

    4. Re:What the hell is going on? by lgw · · Score: 3, Insightful

      Five years ago, just about everything electronic I had was Sony. Nothing I've bought for the past five years has been Sony. Somewhere along the line they droped the ball, product-wise. CD players, DVD players, TVs, telephones, clock radios, etc., etc., they just slipped back in bang-for-the-buck, mostly to Korean companies. Sony just can't seem to make the price-point without cutting quality.

      --
      Socialism: a lie told by totalitarians and believed by fools.
    5. Re:What the hell is going on? by EzInKy · · Score: 2, Insightful


      VCR, DVD player, phones, stereos, car disc players, Walkmen, MP3 players. That's a lot of money to be had.


      Yes there's a lot of money to be had, it's just not being had by Sony anymore for the above products. They have too many competitors making decent products for less support more formats.

      --
      Time is what keeps everything from happening all at once.
    6. Re:What the hell is going on? by dauthur · · Score: 2, Informative

      Sony just can't seem to make the price-point without cutting quality.

      Isn't that how it works though? Similar to Subway. They can expand so massively because their costs are so low, courtesy of shit product. Low portions, bad meat, cheap suppliers. This is in contrast to Quiznos, who buys more expensive product that tastes better, better service, larger portions by far, and their meat is sliced in-house. Their problem is though, expansion. It's harder because they spend more on quality. Seems as Sony should do it as well, yes?

    7. Re:What the hell is going on? by bushidocoder · · Score: 3, Informative
      VCR's, and DVD players have deep market penetration already - there is continuing growth, but its not what it was, and its much lower margin than when the technology is new and booming. Same with PS and PS2 - most everyone who wanted one has one by now.

      The phone market right now is being dominated by the mobile manufacturers, and Sony doesn't have a piece of that. Their walkman and MP3 player line was a complete bust because of their ridiculously greedy DRM system and its probably too late to try and compete against Apple in that market now unless they jump on the relatively unprofitable WMP bandwagon. PSPs have sold okay, but they're not the market leader there.

      I'm pretty sure that they're still doing okay in the TV market which is a solid growth market, but they have serious competitors that take a large portion of that pie.

      I'm no expert in media sales, but I don't think Sony's music and movies have been too high on the charts this year. I might be wrong, I just haven't noticed much of the Sony label. Their content business is huge, and when it takes a hit, the whole company does.

    8. Re:What the hell is going on? by poot_rootbeer · · Score: 1

      Similar to Subway. They can expand so massively because their costs are so low, courtesy of shit product.

      No, actually, Subway expands so massively because it's easy and cheap to obtain a Subway franchise. Few Subway restaurants are operated by the corporate parent -- most are just small owner/operators who had $12,000 to spare and decided to give sandwich sales a try.

      Quizno's, in comparison, costs franchisees about twice as much in startup costs. Entrepreneurs are simply going to be less likely to take the risk.

    9. Re:What the hell is going on? by Fareq · · Score: 1

      And then Quiznos did something unforgivable.

      They cut their quality. Now the quizons near me are actually *lower quality* than the subways -- which have been improving their quality over the last few years (at least out here).

      It used to be that a $8 Quiznos sub was delicious and a $5 Subway sub was naaasty.

      Now, a $7 Quiznos sub is pretty bad, and a $6 Subway sub is passable.

    10. Re:What the hell is going on? by dauthur · · Score: 1

      It's not $12k, it's $150k. You should see though, what most people do in order to own one. They do absurd things, like sell their cars and take out a second mortgage.

    11. Re:What the hell is going on? by ThJ · · Score: 2, Informative

      Sony doesn't have a share in mobile phones? Do a little Google search for Sony Ericsson...

    12. Re:What the hell is going on? by dauthur · · Score: 1

      Ok, what the fuck is this. I just looked through the Subway Potential Investor's brochure, and I found that yes, it's only $12k in the US. I know for a fact though that it used to be $150k, because I was talking to Greg Saunders, owner of a Dennisport Subway on Cape Cod. I went home and looked up the facts, too. The only reason I can think they'd lower the price is to attract more people...

    13. Re:What the hell is going on? by TooManyNames · · Score: 1

      Hmm, taking a look at their balance sheet, it seems sorta like they might be telling the truth about a loss this year. Who'd a thunk it huh?

      --
      "Is not a sentence" is not a sentence. Well damn.
    14. Re:What the hell is going on? by lgw · · Score: 1

      Sany seems to have had the same arc. Not so long agout that made *great* products. Not everything was high quality, but there were rock-solid products available at moderate prices in every line. Now Sony is either outragously expensive or crap, and everything has DRM.

      --
      Socialism: a lie told by totalitarians and believed by fools.
    15. Re:What the hell is going on? by Tibor+the+Hun · · Score: 1

      Umm... portable tape players?

      --
      If you don't know what AltaVista is (was), get off my lawn.
    16. Re:What the hell is going on? by kfg · · Score: 1

      You can't make up a loss on volume.

      Any idiot can gross a million a day if they're prepared to spend two million to get it.

      KFG

    17. Re:What the hell is going on? by drsquare · · Score: 1

      People pay $8 for a bland stale sandwich? I'm in the wrong business!

      Jesus, and people on Slashdot moan about low wages! I suppose this is the same crowd who pay $5 for a brew from Starbuck's.

    18. Re:What the hell is going on? by MoonBuggy · · Score: 1

      As an overview of the company, I'd agree with what you say, but only because there's so much crap coming from them that it cancels out the good things that they do make.

      It doesn't suprise me to hear in the summary that Sony's units don't communicate properly. On the one hand you've got the beautiful but expensive Vaio notebooks, complete with LCDs that put nearly anything else I've seen to shame (even my beloved Apple cinema display). Then there's the PS2 and the Sony Ericsson phones - solid, well designed products that do their job well, although admittedly without any 'wow' factor. Then you slide down into poorly supported MiniDisc players, cheap and nasty camcorders, godawful excuses for MP3 players which refuse to play MP3 files, and simple commodity products like DVD players and digital TV recievers that they think people will pay twice the going rate for because they have a shiny logo. Look at one of their product families and then another and you might as well be looking at another company.

    19. Re:What the hell is going on? by MOBE2001 · · Score: 1

      VCR's, and DVD players have deep market penetration already - there is continuing growth, but its not what it was, and its much lower margin than when the technology is new and booming. Same with PS and PS2 - most everyone who wanted one has one by now.

      In my opinion, Sony has fallen on hard times for the same reason that Zerox did several years ago. Their old patents expired and the competition has begun to compete on a level playing field. Serves them right, though. Rather than putting more money into research and development, they decided to get into the movie business instead. They only have themselves to blame.

    20. Re:What the hell is going on? by Fareq · · Score: 1

      That's just it. When they became bland & stale, we stopped buying them, even though they are now only $7.

    21. Re:What the hell is going on? by kabz · · Score: 1

      To be honest, both are pretty bad these days.

      The Black Angus sub at Quiznos used to be fantastic, but the quality of the meat used by the local stores I go to dropped pretty obviously. I've also had the beef dip sandwich with beef that had very obvious shimmer (bacteria).

      Both restaurants are still much better than eating at the bottom tier burger restaurants though. I can't even bring myself to type their names, they are so repulsive.

      Nowadays, I'd much rather find a few decent cheap ethnic restaurants than eat at a major chain. There are many good Meditteranean type sandwich shops that offer good fresh food at fairly cheap prices.

      --
      -- "It's not stalking if you're married!" My Wife.
    22. Re:What the hell is going on? by Breakfast+Pants · · Score: 1

      In lucrative locations subway has already sold the region-wide rights to franchises so it may have indeed been 150k; only it was from the owner of that region, not Subway itself.

      --

      --

      WHO ATE MY BREAKFAST PANTS?
    23. Re:What the hell is going on? by Anonymous Coward · · Score: 0

      Well, they've been outsourcing so much already, how could they not be making profits? They are to electronics as honda is to cars. They are the ricerocket of electronics, they have had so many new products that sold well, I think this job cut is just another way of outsourcing. a year from now, all those jobs will be filled again, but in other countries.

    24. Re:What the hell is going on? by Firethorn · · Score: 1

      Not to mention start-up costs.

      12k gets you permission to use the subway name and products.

      You still have obtain a building, decorate it, get it foodservice qualified for the local area and subway's standards, hire staff, obtain insurance, utilities, etc.

      It gets expensive fast.

      --
      I don't read AC A human right
    25. Re:What the hell is going on? by Firethorn · · Score: 1

      I also wouldn't put down the company allowing the media portion of the company to dictate terms to the hardware portion. Resulting in products that are incompatible, harder to use, and more expensive than the competitors.

      --
      I don't read AC A human right
    26. Re:What the hell is going on? by Grishnakh · · Score: 1

      What the hell are you talking about? Honda is among the best in the industry for maintaining resale value, and has a great reputation for quality, and has not screwed that up as far as I know. Sony, OTOH, sucks.

    27. Re:What the hell is going on? by Generic+Guy · · Score: 1
      On the one hand you've got the beautiful but expensive Vaio notebooks, complete with LCDs that put nearly anything else I've seen to shame

      Until you find that beautiful Viao screen suddenly stops working one day, and its damn near impossible to get Sony to fix it, even if it does happen to still be under Sony's ridiculously short warranty. Or until they come out with the next model four months from now and you'll never ever see an updated driver for your particular Vaio. [Howard did say he would be reducing the number of models per year.]

      Sorry, but from what I've seen none of Sony's products are built nor supported the way they should be for the price they ask. It's a shame really, because once upon a time they used to be such a reliable brand.

      Given the chance I'd tell Howard to put the quality back into the brand, and maybe they'll be able to start picking up sales (revenue) again if enough people haven't already written off the Sony name like I have. But, looks like Mr.Media-guy is banking on the content-side of the company instead of the electronics side.

      /predicting I'll continue to be Sony free for the next few years at least...

      --
      { - Generic Guy - }
    28. Re:What the hell is going on? by mink · · Score: 1

      "Then there's the PS2 and the Sony Ericsson phones - solid, well designed products that do their job well, although admittedly without any 'wow' factor."

      Please explain why probably 1/3 to 1/2 of all PS2 units ever sold are no longer functional?
      You look to hard at them (or use them as intended) and the optical drive or some other component eats itself.

      If the PS2 was so well designed why are there 12 revisions to it? They all are not because of reductions in component cost or better integration of components.

      Sorry if I sound angry, but I'm on my third one, I don't abuse them or keep them in a dirty environment. The one that still works even has computability issues with so far one PS2 game. The game runs on every other PS2 I have tried it in (3 now), the unit plays all other games on that type of media, but when I load up this game after the splash screen (when it has finished booting from the media) the unit locks up hard.

      --
      Well I've wrestled with reality for thirty five years doctor, and I'm happy to say I finally won out over it.
  4. hmm by andy_fish · · Score: 0, Offtopic

    the "It is what IT is" graphic flashes every time I mouse-over it.

    Oh I'm suppossed to talk about the Sony thing? Hmm, sucks for them.

    --
    & I wish I knew the password to your heart . . . &
  5. Proprietary Employees? by FrontalLobe · · Score: 1, Funny

    I feel for the people losing their jobs... Will the be compatible with other companies?

    --
    -FL
    1. Re:Proprietary Employees? by Anonymous Coward · · Score: 0

      Yes. Especially 'Head Vat Operator' at McDonalds.

  6. So does this reorg mean... by Dark+Paladin · · Score: 5, Insightful

    That Sony electronics will have greater control over their products?

    My understanding may be flawed, but it seemed that the Electronics division was having problems with the Entertainment division sticking their nose in and making life difficult. Instead of having an MP3 player, they had ATRAC players that would convert your MP3's for you. It was only after the first release tanked they brought out a new line that would natively play MP3, ATRAC, and (I think) AAC.

    If the Electronic division is allowed to flourish and tell Entertainment to mind its own business, they will probably stand a greater chance to make products that people want, instead of want the Entertainment division wants to control.

    Of course, this is all just my opinion - I could be wrong.

    1. Re:So does this reorg mean... by Anonymous Coward · · Score: 1

      Yeah, but what use will the products from the Electronic division be when the entire Entertainment division goes tits up because of piracy?

    2. Re:So does this reorg mean... by Radres · · Score: 1

      Damn, you beat me to it while I was searching the slashdot archives for the relavent story about how Sony admitted that ARTAC was dumb.

    3. Re:So does this reorg mean... by reezle · · Score: 1

      Speaking as a person who bought one of those 'ATRAC only-ReRip all of your CD' devices from Sony, Id have to say you're right on the money...

    4. Re:So does this reorg mean... by Anonymous Coward · · Score: 4, Insightful

      You probably would have found a lot more articles if you had spelled ATRAC correctly :)

    5. Re:So does this reorg mean... by Radres · · Score: 1

      Sony's attempts to circumvent piracy by releasing a crippled "MP3" player were less than futile. When the old business model starts to fail, you shift focus to the new business model that is working.

    6. Re:So does this reorg mean... by mikers · · Score: 2, Insightful

      According to the FA:

      "... We are going to achieve our goals by breaking down the existing silo walls and eliminating the highly decentralized structure we've maintained in the past," said Stringer, a former journalist..."

      So, no. Electronics will not have greater control over their products. Think "greater control" and "division" as in "Stalin" and "Communism".

    7. Re:So does this reorg mean... by craXORjack · · Score: 0

      ATRAC? I didn't buy one because I thought the salesman was trying to sell me an 8-Track!

      --
      Liberals call everyone Nazis yet they are the closest thing to it.
    8. Re:So does this reorg mean... by Dark+Paladin · · Score: 2, Interesting

      Agreed - I think that Sony spent more money and effort fighting "piracy" when they really meant "lock in", and paid the price for it.

      There are legitimate ways of fight piracy (going after black market mass CD production dealers, for example) that are more effective than annoying customer base.

    9. Re:So does this reorg mean... by tpgp · · Score: 4, Informative
      That Sony electronics will have greater control over their products?

      I doubt it - Stringer was (and still is) head of Sony US. Most Sony US profits came from content licensing - not eletronics.

      Before Sony, he was president of CBS Broadcast Group (who make content and not electronics)

      PBS has an interesting interview with Stringer, where his philosophies are pretty much stated:

      If you take general copyright-based products, the United States pretty much dominates the world. It's the fastest growing aspect of our GDP, about 5 percent of the GDP, about $80 billion of overseas sales in simple copyright-based entertainment of one kind or another

      I think its pretty obvious where this guy is coming from and what Sony are expecting from him.

      We can expect worse from Sony in the future. Not better.
      --
      My pics.
    10. Re:So does this reorg mean... by tpgp · · Score: 1

      Hmmmmn, rereading my post - I realize it needs a little clarification.

      Howard Stringer is the CEO of Sony. He stepped into this post recently. The 10k job cut is the first significant move Sony has made under his stewardship.

      His successful background is in selling copyright, the fact the Sony has put him in charge has made it clear that Sony entertainment has won the turf war with Sony electronics.

      Coupled with the cuts (that have hit robotics research and high end product development) we can expect Dell-like from Sony electronics and the same old crap from Sony Entertainment.

      Such a pity.

      Apologies for two posts.

      --
      My pics.
    11. Re:So does this reorg mean... by Fastball · · Score: 1

      You probably would have found a lot more articles if you had spelled ATRAC correctly :)
      8-track?

    12. Re:So does this reorg mean... by SQLz · · Score: 1

      The entertainment division is basically the only profitable part of sony right now.

  7. Who would have thought... by kurt_ram · · Score: 0

    Who would have thought that a company like Sony is having such difficulties. It is shocking and sad to know that Sony is going to post a "Loss" for the year. On the other hand, from the point of view of the consumer... I would think this is a good thing since this will result in better products and competitive pricing.

    --
    Clearly, Google is the next Microsoft.
    1. Re:Who would have thought... by Phisbut · · Score: 1
      Who would have thought that a company like Sony is having such difficulties. It is shocking and sad to know that Sony is going to post a "Loss" for the year.

      I don't want to rub it in, but it's somehow fun to see Sony having money problem while all the Sony fanboys keep claiming "Nintendo is going down" or "They should stop making consoles" or "The GC is a total failure, Sony p0wned them" or "The PSP is such a success, Nintendo should stop trying".

      There used to be a time when Sony could afford to sell its consoles at a loss and make it up with profits from other parts of the company, but methinks they will have to put a pretty high pricetag on the PS3 if they can't afford to lose money on the hardware anymore.

      --
      After 3 days without programming, life becomes meaningless
      - The Tao of Programming
  8. Yet the recording side had no trouble... by Radres · · Score: 5, Insightful

    The recording side of Sony had no trouble communicating to the MP3 player side the fact that they should do what they can to restrict users from copying songs freely. Stupid things like forcing users to convert from MP3 to ARTAC and limiting them from copying a song more than 3 times (which was easy enough to circumvent) still leaves me with a bad taste in my mouth 5 years since I received a Sony "MP3" player for Christmas that at the time was worth $300.

    1. Re:Yet the recording side had no trouble... by Anonymous Coward · · Score: 0

      Why didn't you give it back? I can never figure out why people keep gifts they don't want. Do you think the giver would be happier to know that you their gift is going to be wasted or know that you would like to trade it for something more to your taste?

  9. Slashdot to cut apostrophes by Anonymous Coward · · Score: 1, Funny

    In a stunning move to increase its literacy level to the grade 3 level, Slashdot editors announced that they will eventually learn the difference between ITS and IT'S. Although no time table was given, pundits think that 15 years from now, a Library of Congress full of Beowulf clusters of unused apostrophes might accumulate because of this.

    1. Re:Slashdot to cut apostrophes by Pneuma+ROCKS · · Score: 0

      Dude, relax. Its cool. Slashdot and it's editorz are vound to make mistekes evr1 nw n 10

      --
      Favorite quote: "
  10. Record Label by Krast0r · · Score: 0

    The Sony Record label and Recording Studios have been slowly laying off staff for around 2 years now, recently their main UK recording studio closed down completely. This seems to be a continuation of this, slowly laying off staff to try and increase dwindling sales. The fact is, they now have major competition in every major market they are in. In the music buisness they have p2p, Apple and rival music labels to worry about. In the Console market they are involved in one of the biggest marketing wars ever with the monolith of Microsoft and in the hand-held console market they are fighting Nintendo. Sony's competition in every market is a who's who of electronics and software corporations. After laying off this staff, they should have enough money to keep the marketing campaign going until the PS3 comes out, which is bound to make them a large amount of revenue. This could be one of the more intersting corporate stories next year.

    --
    Matthew Grint Midnight Artists
    1. Re:Record Label by Feynman · · Score: 3, Informative
      slowly laying off staff to try and increase dwindling sales

      Of course, laying off staff won't actually increase sales. Decrease costs? Yes.

      which is bound to make them a large amount of revenue

      Revenue and profit are very different beasts, too.

      Believe me...I know these things. After all, I used to work for JDS Uniphase.

    2. Re:Record Label by soft_guy · · Score: 1

      They think the average consumer will buy more of their products knowing they are laying off staff.

      --
      Avoid Missing Ball for High Score
    3. Re:Record Label by pilgrim23 · · Score: 0, Offtopic

      Sony needs a market all her very own where others won't beat her on market share, inovation, and new products....I KNOW! Bring back the ......BETAMAX!

      --
      - Minutus cantorum, minutus balorum, minutus carborata descendum pantorum.
    4. Re:Record Label by dswan69 · · Score: 1

      I hope it is true and that their entertainment division will continue to hemorrhage, ultimately going where they deserve...out of business. One less criminal organisation in the world.

  11. This has been coming awhile. by Anonymous Coward · · Score: 1, Insightful

    This is just the first byproducts of the management shakesups that happened in Sony at the beginning of this year (new CEO, recognition the company was poorly coordinated, etc). It has nothing to do with Microsoft.

  12. A symptom by keraneuology · · Score: 5, Insightful

    This is what happens when one half of your company is fighting with (and suing) the other half: either decide to sell music and movies, decide to sell mp3 and DVD burners, or find something other than an arms race to struggle to create/defeat unbreakable protection schemes.

    --
    If the g'vt kept the data on you that google does you'd better believe you'd be calling it "doing evil"
  13. Needs to do more than that by line-bundle · · Score: 1

    Sony needs to separate its hardware and entertainment division. This has been the major cause of their lack of focus and therefore lack profitability. FTA it seems its competitors are only in hardware.

    Maybe Stringer is (slowly) turning it into a pure hardware company.

  14. The end of Sony... by dextroz · · Score: 0, Offtopic

    All that proprietary "this dick needs this hole" bullshit is finally over... I want my free sex now!

    --
    Where's my free iPod!? Until then, I'll settle for a kiss...
  15. Sony by mikers · · Score: 4, Interesting

    Yeah, I remember when I stopped buying Sony products. Probably about 6 years ago today. My guess is that is probably when their troubles started.

    Sony has this nack for being extremely hard-headed. They stuck to their Beta machines, and missed the entire VCR explosion; they stuck to minidisc and DPMS (copy prevention tech) and refused to even license the technology for the longest time. Copying from minidisc has always been severely hobbled.

    Sony Trinitron was the $hit for many years. Except when they got ridicously over priced.

    Then Sony missed the whole MP3 bandwagon, instead pushing their ATRAC DPMS enabled system -- which nobody wanted (sounds like Beta all over again).

    Memory Stick -- another locked down format from Sony.

    Turns out Copy protection schemes just don't sell very well (exception: IPod .. not the rule).

    m

    1. Re:Sony by Anonymous Coward · · Score: 0
      Memory Stick -- another locked down format from Sony.


      Which is why every all-in-one card reader has licenced the Memory Stick socket -- and gadzooks! a Memory Stick Pro socket as well!
    2. Re:Sony by Anonymous Coward · · Score: 3, Insightful

      It isn't so much that Sony is "hard-headed" but rather than they don't seem to be able to learn from their mistakes. One mistake Sony seems to have made repeatedly is to try to market proprietary media formats. All the examples you mention are examples one or both of two mistakes:

      Betamax vs. VHS: Betamax was there first, but noone wanted to deal with Sony's excessive licensing requirementss.. Their competitors told Sony to get fscked and defined a new, free format: VHS.

      Minidisk: Yet another proprietary format that noone wanted to license. Everyone went with whatever alternatives were available (DAT, and later CDR). Being the first media format with DRM-type restrictions didn't help either.

      Memory Stick: Yet another proprietary format that noone wants to license. Also, any information about the format is restricted, preventing linux drivers for memory stick readers. That may be related to later versions that try to introduce DRM-type limitations.

      ATRAC: Same thing again. Proprietary format noone will lincense and DRM.

      The pricing of trinitron TVs is just marketing BS. For a while, they were worth the money just because the picture quality was so poor on everything else. Eventually competitors started to pay a little more attention to picture quality. Sony relied on the good name from when trinitron tubes really were better to demand a higher price. Anyway the TV thing really doesn't fit with the rest.

    3. Re:Sony by ninjagin · · Score: 1
      Agreed. They've always been locked down to their own formats. I have to confess that I've liked their design aesthetic, but good looks only go so far.

      My main beef with Sony (apart from their tightfisted approach to formats) is that their laptops and desktops all use proprietary versions of hardware and drivers. You can only get the parts from sony, and you have to use the sony-fied drivers or you get crap.

      One example I'll never forget is when my old boss told me that he wanted the OS on his micro-tiny vaio laptop to be reinstalled, after an HD wipe. He didn't spring for the $400 external -=CDROM=- drive, so you could not boot to the install disk. The machine came with all the system restore disks, but without that drive, you could not use them. I did manage to get an XP installation on it without having to boot from the CD (using a $45 external USB CDROM drive), but it was nearly unusable because the little HD would not let go of the old Win2K partition. It was dual-boot WinXP/Win2K and there wasn't much space left to do anything, and the display drivers were not quite right, so it'd lock up from time to time. What a headache.

      --
      .. pa-ra-bo-la, pa-ra-bo-la, 2 pi R, 2 pi R, where's your latus rectum, where's your latus rectum, 2 pi R
    4. Re:Sony by gabebear · · Score: 1

      Turns out Copy protection schemes just don't sell very well (exception: IPod .. not the rule).

      I bought my iPod before DRMed AAC; there was an upgrade later so you could play AAC and DRMed AAC files on the iPod. The only DRM on my iPod when I got it was a sticker on the screen saying "Don't steal music". It was only after the iPod exploded onto the scene that Apple expanded it from being an MP3/WAV only device.

    5. Re:Sony by blackmonday · · Score: 2, Informative

      VHS - They didn't miss the VHS bus entirely. You can still buy Sony VCRs. Don't forget, they sold (and still sell) a shitload of DVD players and DVD recorders.

      Minidisc - They sold a lot of Minidisc equipment in Asia, but not necessarily in the US. I have a minidisc recorder. It's still my favorite way to record through microphones and radio broadcasts. Plus they didn't solely rely on Minidisc. They made good CD Players, and nowadays their mid-range DVD players are very good.

      Trinitron - The Wega TV was very, very popular.

      MP3 - Yeah they missed the boat due to their ownership of Content. Oh well, looks like they're learning.

      Memory Stick - You can buy these from at least 3 different companies now, and the prices have dropped (although they are still somewhat pricier than CF or SD).

      I know Sony has made a lot of mistakes, but Cmon, most electronics companies on earth would love to be in their place. They make very good, very popular units for everything from Tvs to DVD Players, to laptops, on and on. Let's cut them a little slack here. I find few mistakes over the years, taking into account how many successes they've had. Not to mention the PS2, probably the most succesful game console of all time.

      That's not a bad track record for one company!

    6. Re:Sony by Dun+Malg · · Score: 1
      Memory Stick -- another locked down format from Sony.

      Which is why every all-in-one card reader has licenced the Memory Stick socket -- and gadzooks! a Memory Stick Pro socket as well!

      Finding a reader was never the issue. The problem is that Memory Stick is a closed, Sony-controlled format. Subsequently, while the rest of the industry was driving the price down and the storage room up on formats like Compact Flash, Memory Stick products consistently cost 40% more and languished at least a full step behind in capacity. Add to this the fact that three dozen odd manufacturers were using the interchangeable CF format for all manner of devices, and people who bought Memory Stick could only use it in Sony products. Who gives a crap if all readers can read Memory Stick when the only way to write to it is with a Sony product?

      --
      If a job's not worth doing, it's not worth doing right.
    7. Re:Sony by PickyH3D · · Score: 1

      Plus we'll see how well Blue Ray works out.

    8. Re:Sony by TeamSPAM · · Score: 1

      I have to agree with the parent. The iPod supports DRM songs, but doesn't force you to use that format. Sony initially forced you to convert your mp3s to atracs. Out of 4000+ songs on my iPod less than 20 are fairplay ACC. There is a difference between supporting DRM and forcing DRM on the enduser.

      --
      Brought to you by Team SPAM! where we believe: "Information in the noise!"
    9. Re:Sony by doctor_no · · Score: 2, Insightful

      What's with everybody bashing Sony for "propritary" formats. It seems rather hyprocritical being that the alternatives are also proprietary formats as well. VHS, SD, MP3, AAC, etc are all proprietary formats that require licencing fees and royalties just like Sony's formats. The only difference is that they mananged win their respective format wars, and losing format is usually then marked as "proprietary".

      You should also remember that Sony did manage to create two of the most sucessful formats around. First the modern 3.5" floppy disk, and the CD-ROM (which they made with Phillips).

    10. Re:Sony by Anonymous Coward · · Score: 0

      > What's with everybody bashing Sony for "propritary" formats

      I have a friend that have 200+ mini discs of music he "taped" from the radio. He wanted to transfer it to its iPod.

      Impossible. The moron at the electronic store got him to buy a netmd, which didn't solve the problem. He learnt what crippled proprietary format meant when he came to me, hoping I could solve his problem.

      I solved my probems with sony roughtly 8 years ago, by taking the decision of never ever buying anything from them again.

    11. Re:Sony by Anonymous Coward · · Score: 0

      Philips developed the CD. On their own.
      Sony's only involvement was their CEO liking it but asking the size to be extended a little bit so that Beethoven's 9th could fit on a single CD.
      They were the first to develop a player outside of Philips, but it was inferior.

    12. Re:Sony by pipingguy · · Score: 0, Flamebait


        Sony Trinitron was the $hit for many years.

      So if a product is "shit", that's bad. But if a product is "the shit", that's good. People whine about 1984-speak all the time but then go ahead and fuck with the language anyway because it's trendy to do so. Losers.

    13. Re:Sony by fermion · · Score: 1
      Sony has some of the finest electronics on the planet. They do a really good job of design and manufacturing. What has happened seems to be the standard bussness cycle. Small firm becomes succesful by playing fast and loose, then, as they grow, these same entities become addicted to those same rules they shunned in the first place, or, even worse, start creating rules that insure that other firms cannot be as innovative.

      This was the case of Disney, IBM, MS, and all these companies are now suffer, or will likely soon suffer, because of it. In the case of Sony, their succes was based on IP infringement. People bought walkmen because they were small. Then these same people made copies of Albums for thier walkmans, for thier freinds walkmans, left them behind as they could just make another copy, pretty much decimated album sales. The fact that sales actually started to slump a few years before the walkman was ignored.

      Now Sony has gotten religion and can't play fast and loose, and therefore wants to prevent others from playing fast and loose. They can't compete on innovation, because IP laws forbids them from innovated, so no one else can either. There is only so much one can do when one buys into the stogid status quo.

      One thing I find most interesting is that Sony makes one of the best laptops, but, because they sell them with MS Windows, they must compete with the rest of the Windows crowd, which is mostly junk. One can imagine Sony having the resources, and Asia having the market, for a third OS, a la Apple, that could run the MS stuff, but interoperate and be friendly in such a way that Sony could differentiate the machine. That, however, would be innovation, and likely involve open source projects that would imperil the sanctity of abolsute IP, which would not go over well with the people who produce nothing at all, but still want to get paid.

      --
      "She's a scientist and a lesbian. She's not going to let it slide." Orphan Black
    14. Re:Sony by Dogtanian · · Score: 1

      So if a product is "shit", that's bad. But if a product is "the shit", that's good. People whine about 1984-speak all the time but then go ahead and fuck with the language anyway because it's trendy to do so. Losers.

      Did you actually 'get' that novel?

      It would be "Nineteen Eighty-Four"-style language if (a) the language were being deliberately manipulated, altered and restricted by some authority to manipulate people into thinking their way, and (b) "shit" meant different things in different contexts (e.g. "Shit" meant good when referring to a Sony product, but bad when referring to Panasonic).

      "Shit" and "the shit" may be irritating uses of language to some, but they have distinct (to the people using them) and consistent meanings; hence they don't reflect the fascistic control of language (and hence culture) that appeared in Nineteen Eighty-Four.

      --
      "Slashdot - News and Chat Sites Deviant". (Click "homepage" link above for details).
    15. Re:Sony by Grishnakh · · Score: 1

      VHS, SD, MP3, AAC, etc are all proprietary formats that require licencing fees and royalties just like Sony's formats.

      Right, but the difference is that those formats' license fees are far lower. The main reason all the electronics companies went with VHS instead of Beta was because Sony's license fees were too high. Same for ATRAC vs. MP3; MP3 license fees are cheap (although still too much for open-source). Additionally, these other standards are open, if you're a company wanting to make products based on them. Sony has a reputation for being very strict with their stuff and trying to monopolize it, the way IBM did with the MCA architecture. Sorry, but making a new "standard", then either setting ridiculous license fees or not even allowing competitors to use the standard, and trying to get everyone to just buy products from you, does not work in real life.

    16. Re:Sony by Blue_Wombat · · Score: 1
      Absolutely!

      I used to own a ton of Sony gear (TV, VCR, Walkman...), the price was steep but the products were good. Now I regard the Sony brand on a product as a negative rather than a positive, and I haven't purchased any of their products for 6(ish) years. Personally, I am starting to regard Sony as the vermin of the consumer electronics market. Just look at their record, craptastic DRMed to death music players, broken *ahem* "protected" CDs and DVDs, slavish adherence to DRM and region codes, and leading membership of the **AAs. Also, as well as being less user-friendly, the once legendary Sony quality is no more and they are just as crappy as the cheap stuff, and the "premium" pricing is all that remains.

      The Chinese have them beaten on price and usability if you just want something cheap, the Koreans have them beaten on price and quality if you want something better, and the niche manufacturers (Marantz, B&W etc) have them beaten on performance if you want something top of the range.

    17. Re:Sony by mrmeval · · Score: 1

      My cheap 17 dollar 7in1 reader reads memory sticks.
      Enermax, same people that make the power supplies.
      It works exactly like a USB drive and plugs in a USB port.

      Don't know the model, it doesn't have one printed on it but it's got a blue LED and shows up as four USB devices.

      Review: http://www.cluboc.net/reviews/card_readers/enermax /aluminum7n1/

      lsusb shows:

      ID 05e3:0710 Genesys Logic, Inc.

      dmesg shows:

      Attached scsi removable disk sda at scsi3, channel 0, id 0, lun 0
          Vendor: Generic Model: STORAGE DEVICE Rev: 9132
          Type: Direct-Access ANSI SCSI revision: 00
      Attached scsi removable disk sdb at scsi3, channel 0, id 0, lun 1
          Vendor: Generic Model: STORAGE DEVICE Rev: 9132
          Type: Direct-Access ANSI SCSI revision: 00
      Attached scsi removable disk sdc at scsi3, channel 0, id 0, lun 2
          Vendor: Generic Model: STORAGE DEVICE Rev: 9132
          Type: Direct-Access ANSI SCSI revision: 00
      Attached scsi removable disk sdd at scsi3, channel 0, id 0, lun 3

      Wish it had a USB hub, webserver and a hard drive.

      --
      I'd go on a Vegan diet but the delivery time from Vega is too long. --brownkitty
  16. ATRAC and DRM in portable players by c.r.o.c.o · · Score: 4, Informative

    Pretty much every music device that Sony released was crippled in one way or another. I loved the MD format, long battery life, and the ability to store the equivalent of 128Mb of MP3s on a $2 disk. But all of Sony's MD, CD and flash players would only play ATRAC (or a variation thereof). This would not have been a problem if ATRAC were an open standard.

    But converting MP3s or CDs to ATRAC required Sony's drivers and software (which never worked in Linux). This HAS to be the buggiest and most DRM ridden software I ever used. I was so frustrated with it that when I got a free 128Mb RCA Lyra MP3 player, I just sold my MD player and the 50-ish MDs that I had (40 of them blank, because I couldn't bring myself to record them all).

    Sony may have added support for other formats recently, but I got burnt once with their MDs. Unless they offer compelling new features over their competition, I don't see a reason I'd ever consider another Sony product.

  17. Department of redundancy department by Anonymous Coward · · Score: 0

    Mostly from the Obscure-and-incompatible-connectors-and formats division, no doubt.

    There will be much mourning in the IT industry...

  18. Call it the iPod effect... by xxxJonBoyxxx · · Score: 5, Funny

    Call it the iPod effect - Sony's stockholders were not too pleased to see the people who brought you the Walkman get smacked around by the fucking iPod.

    1. Re:Call it the iPod effect... by Guppy06 · · Score: 1

      The Walkman had a record button.

    2. Re:Call it the iPod effect... by Anonymous Coward · · Score: 0

      Mine doesn't.

    3. Re:Call it the iPod effect... by glitch23 · · Score: 0

      by the fucking iPod

      Is that the newest edition, superceding the nano ipod?

      --
      this nation, under God, shall have a new birth of freedom. -- Lincoln, Gettysburg Address
  19. Strategic Business Management by joelparker · · Score: 4, Interesting
    Sony was my final project for my recent Strategic Business Management course.

    My group found that Sony's division conflicts were ruining Sony's strategic opportunities. A simple example is Sony's music division prohibiting Sony's electronics divsion from building DRM-free MP3 players.

    A more complex example is Sony's movie division failing to work with with Sony's games division-- thus we get the PSP that can play movies, but there's no Sony "iMovies" store ready. What a strategic goof!

    Our strategic management recommendation was for Sony to bring in new leadership, specifically someone to rock the boat and get the divisions working together.

    1. Re:Strategic Business Management by j-joshers · · Score: 1

      Wow, your group discovered the exact same thing I discovered three years ago when Wired wrote an article about it. Hooray college!

    2. Re:Strategic Business Management by Anonymous Coward · · Score: 0

      oh boy.. tell us more about your 'strategic business management' class!
      What a waste of time. Try posting something useful... other than 'the five of us, all unemployed, realized that we can tell Sony how to do it better!'.

    3. Re:Strategic Business Management by swillden · · Score: 1

      Wow, your group discovered the exact same thing I discovered three years ago when Wired wrote an article about it. Hooray college!

      When I proved that sin^2(x) + cos^2(x) = 1, I think it had been done once or twice before, also.

      Class project != new research.

      --
      Note to ACs: I usually delete AC replies without reading them. If you want to talk to me, log in.
    4. Re:Strategic Business Management by MaestroSartori · · Score: 1

      You goofed slightly. The lack of "iMovies" store is an entirely deliberate, conscious decision prompted by the move to sell UMD films. In my opinion a decision that Sony might come to regret, given how expensive UMD films are compared to DVDs, but time will tell.

    5. Re:Strategic Business Management by mikael · · Score: 1

      And they also messed up their purchases of entertainment software developers. Instead of just leaving the companies to get on with the business of making games, they started micro-managing project staff/task allocations. Needless to say, this led to many veteran programmers leaving to set up their own companies - which in some cases were directly across the road from the main studio.

      --
      Vintage computer adverts: http://www.vintageadbrowser.com/computers-and-software-ads
  20. ObPostrophe by otis+wildflower · · Score: 0, Offtopic

    Courtesy of Bob

  21. Television Company by Anonymous Coward · · Score: 2, Interesting

    Sony made it as a television manufacturing company. They never completely understood other businesses. Their shotgun approach at trying other products occasionaly got lucky and often were complete failures alienating some customers. I've been burned so many times by Sony gizmo failures that I gave up on them.

    Sony has forgotten about the rigourous quaility control and innovation that made them a manufacturing giant. Like many big technology companies, they have been taken over by marketeers and accountants.
    The visionless have replaced the visionaries and Sony remains a cautionary tail for companies and nations that abondon mercantilist precsion for globalist rhetoric.

    1. Re:Television Company by Fastball · · Score: 1

      The visionless have replaced the visionaries and Sony remains a cautionary tail for companies and nations that abondon mercantilist precsion for globalist rhetoric.

      I dunno. I like my companies and nations with a little extra backside.

  22. Re:Apostrocity by Z0mb1eman · · Score: 1, Offtopic

    Thank you.

    Especially since that error showed up in two consecutive sentences.

    I'm starting to lose hope that people will ever use it correctly... :(

    --
    ClutterMe.com - easiest site creation on the Net. Just click and type.
  23. No... by ackthpt · · Score: 1
    Must be the pirates' doing. Now you see what p2p can do.

    It's the iPod's doing. Crufty Apple Computer has taught Sony a thing or two with this toy.

    the new Sony Walkman: "Please clean out your desk and walk, man."

    --

    A feeling of having made the same mistake before: Deja Foobar
  24. Re:Lame Sony by networkBoy · · Score: 1

    Ant they are supposed to do what?
    Declare bankruptcy and "take it out on their employees" allowing the creditors to acquire "and continue to push their doomed technology".

    Either way the employees would be out of work.
    -nB

    --
    whois gawk date unzip strip find touch finger mount join nice man top fsck grep eject more yes exit umount sleep dump
  25. Is that... by Ancient_Hacker · · Score: 1
    Is that 10K decimal : 10,000

    10K hex : 65,536

    or

    10K binary: 10,240 ?? ( I just hate my Sony car CD player-- no way I see to turn off the barber-pole advertising-- front-panel eject button too easy to hit-- other buttons too hard to hit-- and it often thinks it has a CD in it when it doesnt-- yechhh! )

    1. Re:Is that... by Rakshasa+Taisab · · Score: 1

      It's 10 Kelvin jobs, the guys wearing jeans.

      --
      - These characters were randomly selected.
    2. Re:Is that... by TimTheFoolMan · · Score: 1

      That Kelvin is soooo hot right now.

      Tim

  26. Sony could dissapear for all I care by dbfruth · · Score: 3, Interesting

    Sony has been on a downward slide for quite some time. If they could just get over their "not invented here" mentality and not try to reinvent the wheel every time a new technology comes along. There is nothing wrong with taking something good and simply making it better and more compelling. If Sony made cars it would have square wheels and they would convince you that it was much better that way since you didn't need brakes anymore which by the way were also not invented at Sony.

    1. Re:Sony could dissapear for all I care by nevergleam · · Score: 1

      This is a good point, especially considering that their most successful division (don't quote me) is SCEA. Content released for Playstation 2 is far from inventive or original; instead, it invests a lot of money in polishing current popular genres, (most of which were pioneered by other companies, read: Nintendo) and they reap the profits. The games they make are may not be new and exciting, but they are certainly worth every penny of their price due to the high production value.

  27. Reorg overdue by starfishsystems · · Score: 3, Insightful
    This is a good development for Sony. Its organizational structure has been overpartitioned for a long time, so that it has functioned not as a single organism but as several, sometimes competing, ones.

    For example, Sony used to have something like five different divisions which developed and marketed video cameras. This kind of effect is going to arise sooner or later in any large organization, but a bit of refactoring and consolidation now and then has to be a good thing.

    --
    Parity: What to do when the weekend comes.
    1. Re:Reorg overdue by mmkkbb · · Score: 1

      This is common in Japanese corporations. Keiretsu

      --
      -mkb
  28. Re:Apostrocity by Anonymous Coward · · Score: 0

    Maybe Pichu0102 (the story submitter) was thinking of Sony's which would have been correct.
    Yes I know this is not what he said.

  29. Guilt trip... by inkdesign · · Score: 0, Troll

    Sony just wants everyone to feel bad for them, so they will be more inclined to buy a PS3.

  30. Re:Lame Sony by gl4ss · · Score: 4, Insightful

    wtf man?

    how would saying "WERE FUCKED!!!!" save those jobs ?? instead of going bankrupt they reorganize like they fucking should, at least then not all of their employees end up unemployed.

    (oh and parts of this whole thing would be to prevent overlapping, like pda/computers vs. psp)

    --
    world was created 5 seconds before this post as it is.
  31. Re:Apostrocity by Tankko · · Score: 0, Troll

    who the fuck care's.

  32. Re:Apostrocity by notthe9 · · Score: 0, Redundant

    Yeah, guys, its not that hard.

  33. 10000 binary = 16, not 10240!!! by Anonymous Coward · · Score: 0

    Goddam schmo, you try to make a geek joke only to fall flat on your face. Go back to elementary school you hippy.

  34. Shocking? Sad? No. by Urusai · · Score: 2, Informative

    Just another large conglomerate tightening up their balance sheets by firing employees they'll hire back over the next year at a fraction of the salary, perhaps by hiring them from "temp" companies.

    I can't see how any /.er would feel sympathy for one of the RIAA's biggest supporters. Remember, this is also the same Sony that thinks you should be locked into proprietary formats (ATRAC, Memory Stick, MD, Beta, whatever).

    I personally can't think of a single Sony item I own, either. They can fire all their employees and sink their Board of Directors in the Marianas Trench and I wouldn't care. In fact, they can sink all their "artists" over at the music division and make the world a better place.

  35. New Ad Campaign Not Working? by lbmouse · · Score: 0, Flamebait

    Sony: Because Caucasians Are Just Too Damn Tall

  36. Hard nosed Scot by cswinter · · Score: 1

    It seems to make sense disposing of duplicated functionality in the work force. interesting that it took the appointment of a non-japanese CEO i.e. a Scot to implement it.

    1. Re:Hard nosed Scot by jobobo · · Score: 1

      Hes actually not a Scot, hes Welsh. No idea what that would do to his nose, though.

  37. They're blinded by domestic success by tentimestwenty · · Score: 2, Insightful

    The thing is Sony gets a lot of support in Japan for these formats. It's like Americans buying American cars. They're probably more than a little blinded by the success at home and need a central power structure who can look outward and realize the future lies in open standards for the whole world, packaged in the nicest possible way. They can take a lesson from Apple.

  38. "reorg of management" by Seumas · · Score: 2, Insightful

    a major overhaul of management in June

    Should be read as "bonuses for management, layoffs for everyone else".

    1. Re:"reorg of management" by mrmeval · · Score: 1

      It should mean a lot of duplicate management goes away. A lot of companies are dumping higher end people and keeping the low wage ones. Raytheon and Honeywell are two examples. Both shed a lot of engineers recently and both just cut about 10 percent more. Very worrisome to some friends but they cut higher wage engineers at both companies.

      --
      I'd go on a Vegan diet but the delivery time from Vega is too long. --brownkitty
    2. Re:"reorg of management" by Anonymous Coward · · Score: 0

      Since when?

      I work for a huge well known in the news every other day company who talks about keeping a manager to employee ratio of 1:10 but when you look around, it's mostly 1:4, 1:6 and so on. And a recent large merge has only worsened that ratio.

      And of course they cut higher wage engineers. It doesn't matter about the quality of the work at all. Obviously, if you're a more reliable, capable, valuable employee - you get paid more. If you get paid more, you get the axe. If you're useless and get paid much less, you stick around. Very sensible way of retaining customers of course.

  39. Eliminating silos a good thing by nellardo · · Score: 4, Informative

    I haven't read Howard's announcement in detail yet, but my first impression is pretty good. Several years ago, I worked for Sony Corporation of America (for a while there, Howard was my boss's boss). Getting the different operating companies to work together for the good of the larger corporation was extremely difficult. Management for each operating company was compensated based on the performance of that individual operating company. Music execs got paid well when they sold lots of music. This went down to a fairly fine grain - Sony Classical was extremely happy to have the soundtrack to "Titanic" on their label. There was no motivation for the music company to do something to benefit the electronics company, and vice-versa. The Playstation company was making so much money, they went off and did their own thing entirely.

    Eliminating the barriers between the operating companies will be a painful transition, but all in all, probably a good thing.

    I'm not particularly in favor of eliminating jobs, though 7% over half a year isn't much - most of that is probably natural attrition. When Sony cut jobs while I was there, it was all attrition, and I think it was 4 or 5%.

    The market doesn't seem to like it - Sony is down about 100 yen against a share price of 4000ish since the announcement, but the market may have been expecting something more dramatic. Anyway, my initial $0.02.... ObDisclaimer - I haven't worked there for years, I don't consult for them, and I don't own their stock.

    --
    -----
    Klactovedestene!
  40. Re:Apostrocity by Surt · · Score: 1

    No no, you've misunderstood. This is from the IT section of slashdot. Sony is cutting 7% of the jobs belonging to IT. it's jobs. I'm sure that's what they meant.

    --
    "Who is the Journal of Quantum Physics going to believe?" --Stephen Hawking
  41. Oh For Pull Down Menus by ngr8 · · Score: 1

    My group found that Sony's division conflicts were ruining Sony's strategic opportunities. A simple example is Sony's music division prohibiting Sony's electronics divsion from building DRM-free MP3 players.

    Oh for pull down menus...

    My group found that (Sony/ATT/Digital Equipment Corporation/Ford/The White House)'s division conflicts were ruining (Sony/ATT/Digital Equipment Corporation/Ford/The White House)'s strategic opportunities.

    A simple example is (Sony/ATT/Digital Equipment Corporation/Ford/The White House)'s (music/longlines/ VMS/SUV/Turdblossom) division prohibiting (Sony/ATT/Digital Equipment Corporation/Ford/The White House)'s (electronics/wireless/UNIX/Hybrid/Moderate) divsion from building (DRM-free MP3 players/profit/cheaper boxen/fuel efficient cars/bigger tents).

    --
    Verizon: Latin for "poor rural service".
  42. Dude, what are you talking about? by Anonymous Coward · · Score: 0

    Sony is not just a video game company. They have many divisions in many areas of business. The game division probably has very little to do with the current reorgs and layoffs within Sony, in fact in the last couple years the game division is actually consistently doing better than the rest of the company.

    1. Re:Dude, what are you talking about? by Elranzer · · Score: 2, Informative

      Actually Sony Computer Entertainment consists of about 10% - 30% of Sony's overall sales.

    2. Re:Dude, what are you talking about? by Anonymous Coward · · Score: 0

      From gamespot (in an article about Nintendo's profits):

      "Sony Computer Entertainment today reported a quarterly loss of 5.9 billion yen ($52.6 million). Last week, Microsoft's Home and Entertainment division, which makes the Xbox, said it lost $179 million during its last quarter.

      By Tor Thorsen -- GameSpot
      POSTED: 07/28/05 10:47 AM PST "

  43. Re:Shocking? Sad? No. by sesshomaru · · Score: 1
    Wow, I'm surprised that there is actually someone who hates Sony more than I do!

    Kudos to you, Urusai! *bows politely*

    Arr, it'll be the plank for those scalawags! Methinks, they'll be doing their "corporate synergy activities" and singing from the depths of Davy Jones' locker, yarr!

    --
    "MIT betrayed all of its basic principles."
  44. buy startups instead of creating their own stuff by demon411 · · Score: 2, Interesting
    or maybe they need to start buying start ups instead of trying to create there own proprietary stuff, big companies are bad at innovation cause their existing technologies and products tend to prevent it.

    accoriding to paul graham, big companies can't do product development.

  45. Re:Apostrocity by f0dder · · Score: 0, Offtopic

    Your all loosers!!

  46. Re:Lame Sony by Elranzer · · Score: 1
    how would saying "WERE FUCKED!!!!" save those jobs
    Well abandoning the PSP, and consolidating with Toshiba in favor of the HD-DVD would have prevented most of this nonsense.

    Sony is willing to risk jobs and billions of dollars in favor of having control (and royalties) over the Blu-Ray/BetamaxDisc medium instead of going for another open-forum standard like the original DVD was.

    And regarding the PSP, that was just an obvious and total failure. I'm sure there's like 5 or 6 Slashdotters who enjoy their limited run 1.5 BIOS PSP running illegal emulators in stretched resolution (all of which can be done easier and better on the GPX2, besides the fact that all future PSP's cannot be hacked and will require BIOS updates for future games if they do get hacked), but the PSP is a general failure.

    Then there's the PS3, well, the costs involved there speak for itself...
  47. Re:Lame Sony by Anonymous Coward · · Score: 0

    Let me guess, you are:

    1) 15 years old
    2) Play Halo after school with you dorky friends from school

  48. From Sony: by mkiwi · · Score: 0, Troll
    Sony writes:

    We are very simple people with very small penis. We cut 10000 jobs to make average penis size larger, more like Apple or Microsoft penis. This make competition fairer over all.

  49. Re:Lame Sony by Elranzer · · Score: 4, Informative

    Also lets not forget that Sony is the head of *both* of Slashdotters' favorite two orgainaizations: the RIAA and the MPAA.

  50. Re:Lame Sony by Elranzer · · Score: 1

    Try:

    1) 23 2) IT professional and graduate student 3) Better at making preditions than you, apperently.

  51. Re:Lame Sony by jhutch2000 · · Score: 1

    Son, the DVD and the new HD-DVD are not any more open-forum standards than Blu-ray. There are patents covering every aspect of the DVD and HD-DVD specs, just like Blu-ray, and someone gets paid for every DVD in your collection. What is wrong with Sony wanting to be that someone? (Especially when they have the better technology.)

  52. Doomed! by Agilus · · Score: 1

    Sony is teh Doomed!

    Oh, sorry, I forgot. This only happens if -Nintendo- posts a loss. :)

    --
    hackshop.com - My tech hobby project hub
  53. Sony, blechh by yagu · · Score: 3, Insightful

    Ever since I invested heavily in MD equipment first introduced by SONY, willingly paying the bleeding edge tax for what I thought was cool technology, and ever since Sony kept a white-knuckled grip on the control and licensing of that technology, effectively keeping the price sky high, and effectively killing it as a potential great medium, and effectively rendering my speculative investment worthless, I've avoided them like the plague.

    Sony is very close to being the Microsoft of the electronics industry, except they haven't managed to garner the same dominant position (percentage-wise) in the electronics market as Microsoft has in the OS/software market. But, they keep trying with heavy-handed business practices, sky high (artificially) pricing, and proprietary non-interoperable (think memory sticks, "mp3" (heh) players, etc.) gadgets.

    Maybe this shakeup can bring a change in attitude, a change in latitude, to their approach. I doubt it. But I can hope.

  54. s/it's assets/its assets by Rogerborg · · Score: 1

    Seriously, 'editors', I'll copy-edit this stuff for you for nothing, or you can continue to be scoffed at by third graders. Your choice.

    --
    If you were blocking sigs, you wouldn't have to read this.
    1. Re:s/it's assets/its assets by gatzke · · Score: 1

      I think you mean:

            "Ill copy-edit this stuff. You're choice."

  55. PS3 by McLetter · · Score: 0

    I think this might be a necesarry step for them to be able to build and sell the PS3 for less than $384570394857345, in order to actually compete with X Box 360.

  56. Re:Lame Sony by Elranzer · · Score: 2, Informative

    With DVD's, the DVD Consortium makes a profit (this consists of Toshiba, Panasonic/Matsushita, Sony and a bunch of others). Lots of companies make money on the DVD. With Blu-Ray, Sony wants to hog all of the profits for themselves. The market calls for another consortium with not just one company controlling the medium. One would have thought Betamax would have taught them a lesson, cuz they were better than VHS technically anyway.

    Considering that despite the lesser storage capacity, the HD-DVD seems to have better DRM and scratch-resistance than the Blu-Ray, I don't see how Blu-Ray is necesarily "better". Plus Blu-Ray players have been announced to need to connect to some kind of servers to activate otherwise they "punish" you, as well as having self-destruct codes.

  57. Re:Lame Sony by darkitecture · · Score: 5, Insightful

    They just can't admit that their PSP was a failure and that Blu-Ray (aka BetamaxDisc) and the PlayStation3 are going to bankrupt them.

    Wow, that's either an exaggeration or amazingly naive. If you honestly believe that the PSP, Blu-Ray and the PS3 are going to bankrupt a company with 151,000 employees and about a gajillion patents, a company that rakes in about $70billion a year in revenue, then you seriously need to stop smoking the reefer and pay attention in summer school.

    Companies of Sony's size don't 'break' over one generation of marketing mistakes. The problem is much larger than a couple of wrong turns with products. Such a thing is achieved through the "head against a brick wall" method. Be stubborn enough to keep making the same mistakes and eventually they'll go broke.

    If Sony ever goes bankrupt, it'll be because five or ten years from now, they're still climbing over each other, fisting big sweaty handfuls of dollars up the asses of their lawyers trying to revive the dead horse carcass they call a music business model that's been lying on the sidewalk for the past six years. If they'd spent a quarter of what they've already spent on their RIAA/MPAA legal bills on a decent online business infrastructure, they'd be raking in more money than iTunes.

    Imagine that; 1999 and Sony releases SonySongStore.com - any songs by any Sony recording artist for $1, any album for $12 - they'd have forced Universal, EMI and Warner to all open their own websites to give their own artists a piece of the online pie. Then they wouldn't have to care so much about trying to force what *they* think is popular music onto the public. Instead, they could promote three times as many new artists for cents on the dollar using online advertising and, well you know, let the market sort the wheat from the chaff. No more need to sign huge, long term contracts with new, unknown artists, creating risky investments. Instead, sign them on so as they can provide their songs for download on your site, pay for minimal bandwidth costs if they go bust or end up raking it in because a shitload of people have downloaded their songs, realized they're actually talented and you've got yourselves a star.

    Not to mention that if they'd done all of this six years ago, I guarantee you Sony would have brought out their own MP3 player years before Apple did and it would have become the benchmark. It would have essentially become the Walkman/Discman of the current generation. Instead, they're constantly trying to play catch-up, wondering why they can't keep up whilst simultaneously refusing to let go of the starting post.

    Easier said than done, I know. But regardless my original point remains valid; If Sony ever goes bankrupt, it will be because they're still continuing with this DRM/RIAA/MPAA death spiral of a charade two or three CEOs from now. It's worse than they think because it's not just a error of judgement that's affecting their entertainment section; it's filtering across to their R&D department (taking a couple of years to finally release a decent MP3 player that, you know, actually plays MP3s), their marketing department ("Trust us when we say you'd rather have your songs in ATRAC format") and until someone towards the pointy end of the pyramid decides to say, "Uhh, hey guys I think we're on the wrong track here", they're going to continue to get screwed with their pants on.

    Sorry heh, /rant

  58. In Related News by bredk · · Score: 0

    Sony plans to hire 100K in India...

    --
    http://slashdot.su/
  59. Re:Lame Sony by Elranzer · · Score: 1

    A lot of "if's" and "would have's" this is why Sony lost a shitload of money. Maybe they should have listened to consumers like you, but instead they put their market share control as priority #1. This is probably why they're #2 to Panasonic/Matsushita in terms of their mother industry, consumer electronics.

  60. Re:Lame Sony by poot_rootbeer · · Score: 1

    And regarding the PSP, that was just an obvious and total failure.

    No.

    Just, No.

    Though I do believe that Nintendo will ultimately continue to dominate the handheld console market, there's no denying that Sony has really given them a run for their money. Nobody has ever been able to do that in the market before -- not Sega, not Atari, not Tiger, not whomever it is that makes the GPX2, whatever that is.

  61. Don't worry. by RyoShin · · Score: 1

    As soon as their next-generation Lean Mean Creativity-Reducing Gaming Machine comes out, they'll soar to the top among sequals and remakes and over-bloated polygon counts.

  62. Re:Lame Sony by darkitecture · · Score: 2, Interesting

    Actually, Matsushita is larger because of many, many reasons, the chief reason being that it was founded 28 years before Sony was.

    Although it wasn't one of the Big Four zaibatsus, it was also dissolved after the Allied occupation of Japan and targeted for systematic breakup, however was saved by worker/family union petitions and thus is a much, much more significant staple of the Japanese economic landscape.

    You might be an IT professional and graduate student, but I'm also an IT professional, Wharton School graduate and majored in Japanese Business and Economics ;)

  63. Exactly what should be going on by Anonymous Coward · · Score: 0

    As someone who works for Sony, let me assure you the numbers are not rosey on the inside. This type of change is much needed.

  64. Re:Lame Sony by vertinox · · Score: 1

    instead of going bankrupt they reorganize like they fucking should, at least then not all of their employees end up unemployed.

    Because they will still go bankrupt in long term. Layoffs only give short term benefits because employees appear to be the most exspensive item in the budget. However, those employees were obviously doing something to benefit the company unless they were sitting around doing nothing and if they were that piss poor organized to begin with and that's more of an upper managment issue for not firing the people a long time ago on an individual basis and won't matter how many people they layoff unless they take people off the top.

    If you fire off all your manpower and brainpower then you start to have lost productivity, lost sales, and lost innovation by the overworked people left over. It's like keeping from starving to death on a deserted island by cutting off you foot and eating it. Sure... It will keep you alive for a bit, but if you need to chase after wild animals for food then you are pretty much screwed.

    Companies would be better to cancel projects and streamline spending and have individual firings as laying off peopel based off poor performance and lack of value to the company rather than picking a section of the company and giving them the axe with no rhyme or reason.

    --
    "I am the king of the Romans, and am superior to rules of grammar!"
    -Sigismund, Holy Roman Emperor (1368-1437)
  65. Re:Lame Sony by buraianto · · Score: 1

    I thought that Blu-Ray had better scratch resistance, because it was getting some 22nd century coating that was very hard to scratch. That allowed the disks to be thinner. Is that not correct?

  66. To offset the costs of PS3 by SteveXE · · Score: 1

    I dont care what Sony says, this is so they can help ease the loss of money when they sell a PS3. It makes perfect sense, we hear about how Sony could stand to lose billions selling PS3 at a loss, whats an easy way to make up some of that money? Fire people.

  67. Chubachi by drooling-dog · · Score: 1

    Would this be the first Wookie ever to head a major corporation?

  68. Re:Seriously. by Jackie_Chan_Fan · · Score: 0, Flamebait

    Better yet, Sony should open up the PSP to more codecs, and give users easy ways to ADD videos to their PSP, encode them, library them, and give them a better OS. The PSP is too fucking hacky, and they're taking far to long to figure out what to do with it. The users already know. They want to put their videos and music on it, and use it like a fucking ipod. WHATS SONY DOING? Nothing. Fucking sony and they're UMD movies.

  69. 10K binary = 2048!!! who's the fool? by Anonymous Coward · · Score: 0
    Assuming K is 1024 (decimal) and 10 (binary) = 2 (decimal), then 10K is 2048.

    alternate calculation: K = 2^10 and 10 = 2^1, so 10K = 2^11 (i.e. 2048).

    alternate calculation #10: 10K is a great sized diamond ring but a lousy purity of gold.

  70. Re:Lame Sony by Anonymous Coward · · Score: 0

    But spelling, not so much, eh Mr. Grad from the factory-cult of you-neee-versity???

  71. Financial needs by Anonymous Coward · · Score: 0

    Layoffs? Obviously the needs of the share holders and company officers out weighs the needs of the employees. It would be interesting to see how many of these jobs disappear from Asia and reappear in India!

  72. But Nintendo buys back stock by Anonymous Coward · · Score: 0

    In other news, Nintendo is buying back its own stock.

    http://gc.advancedmn.com/article.php?artid=5614

  73. But Why? by martincastillos · · Score: 0

    Isnt Sony growing with PSP, PS3 and stuff?. Ugly.

  74. Re:Lame Sony by ucblockhead · · Score: 1

    Alas, they killed their PDA a couple years ago.

    --
    The cake is a pie
  75. My Hello Kitty Pink Slip... by FrankDrebin · · Score: 1

    ...said "Take a Walk man".

    --
    Anybody want a peanut?
  76. Another form of iPod Halo by SuperKendall · · Score: 1

    In this case it's like iPod is blue and Sony's on Red, only Sony forgot to grab the rocket launchers or vehicles.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  77. What he said means Movies, Music and Microcode by infonography · · Score: 1

    I don't think he mentioned 30 min pizza delivery but that would be wise of him not to. [wink wink]

    However he's pretty much right, the US leads in content sales. Anime is big only in Japan and amongst angst ridden teens who don't like being goths. Bollywood movies are big in India, but only their highest income flicks barely match up to a mediocre Hollywood dud like Bewitched or Willy Wonka. Name five big draw band/singers from outside the US.

    The USA is where the money is for content. Sony has a lock on it, and the rest is gravy. Monitors, computers, console game systems are nice, but too many players in the game. Too easy to build it in Taiwan and rock the market here. Once somebody makes a cross platform console then most of the makers will die a fiery death.

    EA and Microsoft are praying for it.

    --
    Sorry about the writing. Robot fingers, you know? Cliff Steele in DOOM PATROL #23
  78. Sorry, off-topic question about MP3 License by Hitto · · Score: 0

    What's the deal with these? Does that mean LAME is illegal? What's up with it's LGPL license?
    And for example, if I want to build and sell an MP3 player, do I shell the dollars over to fraunhof, or thompson, or whoever owns the patent, or can I use LAME and get away with it? (or should I release a complete "how to build a LAME-based flash memory MP3 reader" to contribute ?)

    Please shed a light for this uninformed /.er!

    1. Re:Sorry, off-topic question about MP3 License by Grishnakh · · Score: 1

      I don't have a link handy (google for "MP3 licensing"; the fraunhof (sp?) company has a web site explaining it all), but the deal is that this is covered by a patent, not copyright. So it's not illegal per se to use LAME, but it's illegal to use it without paying a license fee to that company.

      So if you wanted to build and sell an MP3 player, you could use whatever MP3 decoder you wanted to (open-source or otherwise), but you'd still have to pay the same license fee to the patent holder. If you used a closed-source decoder, you'd probably have to pay an additional license fee to the company that owns it, which is separate from the patent license fee.

      BTW, you wouldn't use LAME for an MP3 player since LAME is an MP3 encoder, not decoder.

  79. Re:Apostrocity by notthe9 · · Score: 1

    Redundant? It was a joke. Maybe off topic or something, but redundant?

    Meh.

  80. Re:Lame Sony by Some_Llama · · Score: 1

    "If you fire off all your manpower and brainpower then you start to have lost productivity, lost sales, and lost innovation by the overworked people left over. It's like keeping from starving to death on a deserted island by cutting off you foot and eating it. Sure... It will keep you alive for a bit, but if you need to chase after wild animals for food then you are pretty much screwed."

    I used to work for adaptec and this is exactly what they did (see where they are now) the last thing i heard from the few unlucky souls who work there, is that they sold off there engineering and are now contacting their engineering out...