Sony Kills off Aibo, Qrio, Qualia

Tomo-chan writes "It seems Sony's cost-cutting has made it a more pragmatic company. The new boss has weilded his mighty chopper and put an end to both Aibo and Qrio, as well as some other marginal product lines. Aibo -- we'll miss you..."

Comments

Truly bad product timing or economic pressure?

[dada21]

I think the proper title should be "the consumer market killed off some of Sony's fad products." Sony wouldn't kill off products that made them a profit. A profit is the only proof of a product's viability -- if people are willing to pay you to perform a service or build a product, your ability to profit proves if the product/service is worthy of your time.

I think we'll see more of these fad/trend items from other Asian manufacturers start to fall out of the production lines. The U.S. is one of the biggest consumers of these useless products, and personal debt is way too high to keep buying more stuff that depreciates 60% the minute it hits the house. With Americans buying less, Asian manufacturers have to reorganize their product lines for items that we do need.

Sony is already out of my buying schedule -- the rootkit and the overall low quality of products they've made in recent years have led me to decide to never buy their products again. I help a few cEOs and upper management types from my client base purchase home electronics and appliances -- I'll always tell them never buy Sony. I remember a few years ago how many of these 6+ figure income types were asking about Aibo and other eccentric toys, nowadays I hear nothing of the sort. Even worse, I don't even hear the wealthy elites asking about the latest flat panel TVs, high end GPS systems or the latest computer gadgets. If the wealthy are having a hard time staying on the 18 month upgrade cycle, what does that say about the economy?

Sony is probably smart to start slicing and dicing. The best thing they can do is refocus on their higher end line -- people who can afford the expense will want the best quality product available. I hate seeing a company I loved become a company I hate. They chased the common man, and their products suffered for it. They chased markets created out of force against consumer action (music, movies, etc) to give their previous customers even more reason to hate them.

Sony, if you're listening and you want to be pragmatic (meaning practical), chop it all out. Sell it all off. Return to Japan, make high end products with meticulous attention to detail and care. Love your customers again -- those willing to pay for the product quality and service. Don't chase the Best Buy guy (or the Circuit City kitty?) -- let the upper echelon come to you.

Billions in annual sales at a 2% margin makes less sense than hundreds of millions at a 20% margin. Here's a hint for all you future entrepreneurs: the only thing that will keep you profitable is to keep your customers happy and offer them a consistency in your performance -- product quality and customer service. Ignore the trends, the fads and trying to sell everything to everyone.

I hope you're happy!

[Thud457]

Sony's got to cut back to the bone to survive because you piratical sons-of-bitches aren't buying enough Ricky Martin CDs!!