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Sony Slashes 10,000 Jobs

redletterdave writes "Sony will cut about 10,000 jobs, which equates to about six percent of its global workforce, by the end of the year. The move comes after the Tokyo-based electronics firm more than doubled its loss forecast on April 5 to $2.9 billion, and the recent hiring of a new CEO, Kazuo Hirai, on April 1. Hirai looks to downsize Sony and pivot the company in a new direction to get out of the red for the first time in four years. The company will reportedly sell off its chemical products division, cutting about 3,000 workers in the process, and also make cuts within its small and midsize LCD operations. Sony did not say if it would cut these jobs in Japan, abroad, or both."

33 of 92 comments (clear)

  1. Electronics and music hugely profitable by CoderExpert · · Score: 5, Informative

    Just wanted to note this before slashdotters get all jiggly about the evilness of PS3 and Sony's music divisions. They are actually Sony's most profitable divisions, and it seems like Sony wants to cut out the less profitable divisions like chemical products. PS4 is already in the production and as noted on Slashdot before, will contain even more DRM. So this is not really "news for nerds" at all, as it's completely different divisions of Sony that will get the cut.

    1. Re:Electronics and music hugely profitable by Sir_Sri · · Score: 4, Insightful

      LCD manufacturing and chemicals used in batteries very much are news for nerds.

    2. Re:Electronics and music hugely profitable by tripleevenfall · · Score: 5, Informative

      but the article does mention the LCD operations shut down

      No, it doesn't mention "the LCD operations shut down", but TFA mentions "mak[ing] cuts within its small and midsize LCD operations" to better compete with Samsung. So this is a reconfiguration of business designed to increase their investment and competitiveness in that market, pretty much the opposite of what you write.

    3. Re:Electronics and music hugely profitable by Dogtanian · · Score: 4, Interesting

      The Walkman is a histroical footnote nowadays...

      It's worth remembering that the Walkman was *the* portable music player for almost two decades. Sony was a big company with brand recognition and the resources to develop devices that would continue that lead into the MP3 era. The market was theirs to lose.

      But they squandered the opportunity, letting *Apple* become the dominant player. (Circa the mid-to-late 90s, I'm sure that the suggestion that Apple- a company that was primarily a personal computer manufacturer back when that was a very different market to audio entertainment- was likely to take over their dominant market position).

      Much as I dislike aspects of Apple's behaviour, their foresight in developing and promoting the iPhone- even though they would have known that it would eat into classic-style iPod sales- cannibalising their own product, rather than letting someone else cannibalise it, and reaching even greater heights in the process- contrasts sharply with Sony's protectionist, insular, NIH approach to file-based digital media and the MP3 age.

      --
      "Slashdot - News and Chat Sites Deviant". (Click "homepage" link above for details).
    4. Re:Electronics and music hugely profitable by Kneo24 · · Score: 2

      If you ARE a Sony employee, WTF is wrong with you???

      The same could be said of those who still buy their products.

  2. Not to worry by NoNonAlphaCharsHere · · Score: 5, Funny

    I understand they're still looking for rootkit developers.

  3. I'm hoping... by ickleberry · · Score: 5, Insightful

    They'll close their DRM-peddling division. Of course with my luck Sony will be repositioning themselves as a DRM company

    1. Re:I'm hoping... by Anrego · · Score: 5, Interesting

      Sounds like they are going full steam ahead with DRM in PS4 (playstation and music still being profitable (possibly the most profitable) sections of Sony). This just sounds like they are trimming some fat so to speak. Ultimately most of the people who care about DRM are probably pissed off enough with Sony not to buy the PS4 anyway, so there really is no reason for them to get away from it.

    2. Re:I'm hoping... by Baloroth · · Score: 2

      Of course with my luck Sony will be repositioning themselves as a DRM company

      That would be a good thing, in a way. Certainly make it easier for the pirates.

      --
      "None can love freedom heartily, but good men; the rest love not freedom, but license." --John Milton
  4. Fire the shovelware writers. by jameskojiro · · Score: 4, Interesting

    Maybe they should fire the shovelware writers that write the stuipid applets that sys inthe syste tray that get installed when ever you install a device driver for a sony peripheral.

    Gee, I install the SONY monitor and now I have a systray applet eating CPU time and whatnot and while it supposedly is supposed to help me control the monitor but it leads itself in the tray so it doesn't "Take so long to startup" when I run it that one time to adjust the monitor settings.... When running it from the start menu and waiting an extra 2 seconds for it to load is going to take more time than the cumulative 30 minutes over the lifetime of the PC that is wasts because it slowing everything else down with it's CPU usage and memory consumption....

    Sorry, I just hate installing drivers and having to install stuipid shit that I have to go back and remove after every damn driver install. Drivers are "supposed" to be only the driver, I don;t need no damn systray applet for USB Hub, Printer, scanner, DVD writer and LCD monitor.

    --
    Tsukasa: All I really want, is to be left alone...
    1. Re:Fire the shovelware writers. by The+MAZZTer · · Score: 3, Interesting

      My mom just got a Vaio laptop. It comes with about 20 preloaded apps. Some seem vaguely useful though (it has a fingerprint reader, does Windows 7 include built-in support for those? It doesn't seem to so the bundled app seems necessary). It also has an annoying Dock-type top bar that appears whenever you try to restore a maximized window and move your mouse too far up. And if you tap or hold the Windows button you get a nice keyboard that shows you all the Win+Key keys. At least it would be nice if it didn't do an annoying distracting popping motion whenever you tapped Win for the start menu. And mom wants most of it around "just in case" she needs it.Oh and the keyboard has specialized buttons specifically to launch some of these applications.

      At least I got rid of Bing Bar, some webcam app, Norton trial (she claims she declined some offer, but it was still running in the tray), and Office trial.

      Also I got to try out Ninite which was pretty awesome, except when I needed to rerun the actual setup utility for foobar2000 to install the freedb component.

  5. Its about profit by MDillenbeck · · Score: 3, Funny

    I wonder how many millions of dollars bonus the CEO will earn by cutting the workforce so drastically...

    1. Re:Its about profit by Lev13than · · Score: 4, Informative

      I wonder how many millions of dollars bonus the CEO will earn by cutting the workforce so drastically...

      Executives are being asked to return their bonuses, so don't think it's a big win for him.

      --
      When you have nothing left to burn you must set yourself on fire
  6. What is sony chemical division? by vlm · · Score: 3, Funny

    The company will reportedly sell off its chemical products division

    So what is sony chemical division, like if you buy Sony-brand acetone then you can only use it in Sony-brand test tubes? Sony-brand chemical storage only holds Sony-brand hydrochloric acid that costs 10x as much as commodity HCl? That's how they run their electronic division...

    I LOL when I thought of it, but I'm seriously betting they sell a line of completely incompatible ground-glass-joint glassware for chemists. Like instead of standard 14/20 taper, theirs is probably 16.335/23.235, that spec is trademarked and copyrighted up the wazoo, and costs 10 times as much as normal glassware and they aggressively sue anyone trying to use it with normal taper glassware. (On a slightly related note, what is it with you european chemists, on this side of the pond we use two tapers, "big and small (14/20 is the small)" yet we're taught that you guys have something like 10 mutually incompatible tapers... whats up with that... I would think you metric EU people would simply have the one taper to rule them all but no we're told you've got a dozen in common use)

    --
    "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
  7. Bad Karma Sony, Bad Karma... by dryriver · · Score: 5, Interesting

    There was a time - in the 80s, 90s - when Sony was perhaps THE company to buy quality products from. A Sony CRT TV or VCR was sturdy, reliable, and offered a high quality (visual) experience for the time. A Sony Walkman or Discman was, again, a quality product that was most usable and dependable. A Sony Betamax or VHS home-video camera, and later its much smaller (digital) handycams would, similarly, give you a quality home video experience. Then, at some point, Sony started going downhill in terms of corporate philosophy: Putting proprietary, expensive & incompatible Sony memory-sticks into Sony digital cameras? Selling 60GB HDD videocameras with no manual focus-ring, and not entirely reliable always-on autofocus? Putting DRM on music CDs, in PC Games, and all over the Playstation 3 experience? Branding handycam lenses "Zeiss Vario-Tessar" to lure buyers, even though the lenses are manufactured by Sony, not Zeiss (Sony just bought the right to call them "Zeiss" lenses)? Selling large, heavy, expensive LCD TVs while advertising that they include the fantabulous "Bravia Engine" (a collection of very, very mediocre video sharpening/upscaling/color/contrast algorithms). Sony Vaio laptops that are seriously expensive, while offering only very mediocre hardware specs? Killing HD-DVD, then failing to offer a decent (low) price on BluRay players and movies. Being a main player in demanding that all HD content be played back through HDMI cables - what was so bloody "wrong" with analogue HD cables? While Sony was slowly loosing its "focus on the user experience" and on "end-user and buyer sattisfaction" in particular, once far lesser brands like Korean Samsung zipped onto the scene with products that look, perform and, overall, please better, and without Sony's premium pricing attached. I'm sorry that Sony has fallen so low. It used to be my go-to brand for consumer electronics. But Sony isn't a company that learns from experience. I personally think that Playstation 4 will flop badly - at least initially - if Sony persists in forcing hardcore DRM and always-on-internet-to-play type shit on PS4 gamers. Wake up, Sony! Wake up before your corporate-crapfest-philosophy costs another 10,000 or 20,000 Sony employees their jobs. (Will Sony actually wake up? Not a chance, I think. PS4 will quite likely wind up being a horrid DRM fest that may actually drive some gamers back to gaming on a PC...)

    --
    Why did the chicken cross the road? Because Elon Musk put an AI chip in its head.
    1. Re:Bad Karma Sony, Bad Karma... by berashith · · Score: 2

      I thought that the previous CEO came from the movie or content division, and led the company away from being a tech focus to a content provider. All directions from that decision lead to the problems that you mention. For many years now ( possibly 10) I have refused to buy any Sony product. The new CEO has a chance to change things back. I dont know his history of plans, but I am willing to pay attention to them for the next few years and maybe consider purchasing something if they can fix their reputation.

    2. Re:Bad Karma Sony, Bad Karma... by jellomizer · · Score: 2

      This often happens with companies who produce high quality goods. There comes to a point where they need to target consumers who want less expensive products. Especially when a competitor comes in and starts to take some of their thunder away. Now the company has a few choices.
      1. Keep up with high quality products and try to market it as worth the price. This could risk not getting the consumers attention or not really worth it and they will go with the cheap competitor alternative.

      2. Lower their product quality a bit so they can cut the price. Now this could give people a bad taste in their mouth over time about product quality and will not look to that brand again.

      3. If you try a high end and low end product line. Then you risk having the worst of both worlds where people who expect high quality buy the cheaper poor quality, and other people will not really see the value on their high quality products in, you are competing with yourself.

      4. Try to lock down your customer base from changing to competitors. This rarely works as if customers feel too locked down they will switch before they get too stuck.

      Remember Gateway 2000 back in the mid 90's Gateway 2000 was a premium PC manufacture now they produce the cheap junk PC you get a Walmart. The same is happening to Dell... I expect the same will happen to Apple. They are going to get to a point where they are going to use more plastic parts to save on costs just so they can jam in a few more features. Drop quality a little bit every release until you have a tarnished brand name.

      I have always admired the ThinkPad design. Booring and changed little over the years however they kept a high quality to their design. They don't try to be flashy but a system to do what it needs to be done.

      --
      If something is so important that you feel the need to post it on the internet... It probably isn't that important.
  8. Re:sony rootkit by Anrego · · Score: 3, Informative

    Most of their customer base never cared. Even when it was plastered on the mainstream news, the average reaction was "well, that was naughty of them".

    The relatively small number of us who do care are a tiny blip on their profit statements. Yes, some of us influence big purchasing decisions at our workplaces.. but realistically it doesn't matter to them.

    Remember, when the PSN got hacked.. the absolute loudest cry wasn't about personal info getting stolen, it was that the network was down and games wouldn't work. This is Sony's customer base and they know it.

    Playstation and music are still very profitable sections of Sony.. and I suspect they will keep right on doing more of what they've been doing. This just sounds like them cutting out some of the less profitable chunks of their business and not Sony getting what _should_ be coming to them.

  9. Downsizing their customer base by Pf0tzenpfritz · · Score: 4, Funny

    So, downsizing their customer base didn't work anymore?

    --
    Oh, the beautiful gloss of greality!
  10. Question for Sony by onyxruby · · Score: 3, Insightful

    How is your war on users going? Is that working out for you the way you expected? Perhaps, just perhaps, your customers are not your enemies? Think about this please, you could be such a great company if not for a small handful of policies.

    1. Re:Question for Sony by jellomizer · · Score: 2

      Those sections are bringing in good profitability though.

      --
      If something is so important that you feel the need to post it on the internet... It probably isn't that important.
    2. Re:Question for Sony by tgd · · Score: 2

      How is your war on users going? Is that working out for you the way you expected? Perhaps, just perhaps, your customers are not your enemies? Think about this please, you could be such a great company if not for a small handful of policies.

      /. rants aside, the parts of the business that are related, even slightly, to what you're talking about are still doing just fine at Sony.

  11. List of Sony Chemical products... by readandburn · · Score: 4, Informative

    http://www.sonycid.jp/en/products/ (I'm sorry to post something informative rather than something bashing Sony and/or hilarious "jokes".)

  12. Zombie Company by alexander_686 · · Score: 4, Interesting

    I am going to have to disagree with your opinion. From what I have read from other articles, Sony is losing money on LCDs and is trying to get out of the market.

    Manufacturing LCD is very capital intensive. That is, the initial outlay to build the plant is high. So while Sony is making money on the variable costs (i.e. the cost of materials, labor, etc) is can’t justify all of the capital that’s tied up to it. It can’t sell it because there a glut of LCD manufacturing capacity right now.

    So they are turning it into a Zombie. They won’t invest any more money in the plant, and they don’t expect anything from it, but they will just let it putter along as long as they can cover the variable costs.

  13. Re:sony rootkit - is 7 years enough? by Anonymous Coward · · Score: 5, Insightful

    I say we don't move on until at least one Sony exec serves serious prison time for using their music CDs as a vector to install a virus onto users PCs.
    An ordinary hacker would have served time, but because Sony is a super-criminal with countless victims they remain free. Not acceptable.

  14. Re:sony rootkit - is 7 years enough? by NeverSuchBefore · · Score: 5, Insightful

    It was despicable but it was just one division (a joint venture at that) and it was 7 years ago so I think it is time to move on.

    I'm not going to "move on" when they still have the same exact attitude: harm your customers (with DRM) to stop the big evil pirates. I'm tired of collective punishment. One recent and obvious example of this mentality is the removal of OtherOS (some people like to justify it by saying that harming only a few of your customers somehow makes it okay). Another is the planned DRM for PS4.

    No, they haven't changed. At all. They had no reason to.

  15. 6% by KingSkippus · · Score: 2

    I was actually just thinking, 6%? Yup, that would just about account for anyone left with a shred of morality in the company.

  16. They're in trouble by Haffner · · Score: 2

    Sony's most profitable business? Life insurance. I kid you not.

    --
    "Going to war without the French is like going deer hunting without your accordion." ~General Norman Schwarzkopf
  17. Re:Yuk it up, kids... by CanHasDIY · · Score: 4, Insightful

    Geeks are the most selfish and entitled people on the planet.

    You've obviously never met a politician, or executive type.

    --
    An enigma, wrapped in a riddle, shrouded in bacon and cheese
  18. Re:Yuk it up, kids... by NeverSuchBefore · · Score: 2

    A lot of them are flat out sociopaths.

    An armchair psychologist says it, so it must be true. If it's that easy to be diagnosed as a sociopath, then perhaps that's what 99% of humans are. "Oh, you have a different sense of humour than me? Sociopath."

  19. Sony Bourne Again Shell by tepples · · Score: 4, Funny

    We'll be waiting for your Sony bash

    Sony bash hasn't been around since PS3 firmware 3.21.

  20. Re:sony rootkit - is 7 years enough? by NeverSuchBefore · · Score: 2

    Some people seem to. It doesn't in 99% of cases.

    But you know what? I don't care if it does or doesn't. I believe it's wrong to hurt your customers trying to hurt pirates. It makes me wonder how anyone can defend this practice.

  21. Re:sony rootkit by NeverSuchBefore · · Score: 2

    I heard that origin was an order of magnitude worse than Steam. And I highly doubt it's anywhere on the level of Sony's rootkit, as he implied it was (I know you didn't say it was).

    One thing I don't understand, though, is why Steam isn't just a platform for selling games. Kind of like Good Old Games. They sell you the game, and after that, it's completely yours. No DRM, and the games wouldn't be tied to Steam. Although, you could still have the option of tying it to Steam (not sure if that would have any benefits, though, so I don't know if that would be useful).