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Author Sony CEO thinking over Ericsson joint venture
c96sthl
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Posted: 2008-08-29 03:22
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I took this out from www.evertiq.com
even i made a mistake thing Howard is CEO haha.... he is not. He is the chairman...so he can say what he like but the board member and CEO can overrule him. If Sony give up all the mobile phone business.... what will they try to achieve in getting their DLNA or whatever wireless covergence technology promoted? Samsung and LG might ends up being the only two company that can seamlessly merge mobile technology with home AV product. I don't know....before samsung come out with all the TV output thing on phone. SE already got all this MVW-100? that connect phone to TV but it just seem slowing down in getting more features into such product since all those were product introduce when SE still using old system connector. If they split it back to Sony and Ericsson...I doubt it can really survive.

This statement comes shortly after Sony's Chairman of the Board Howard Stringer said in an interview to the German newspaper 'Die Welt' on Wednesday that he was unhappy about the current state of the cooperation within the joint venture and if that did not improve a separate solution had to be found.

The rumours were further fueled by a profit warning that Sony Ericsson issued in June.
carkitter
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Posted: 2008-08-29 09:46
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On 2008-08-29 03:07:24, pinguino2 wrote:

Check this MSN Money article about iPhone missing the boat and using SE as standar of mesure against Apple.



I think that blog is seriously flawed, if Apple is 1/3 over capitalised then a major correct should have happened by now. And he's making a common mistake of using iPhone 2G black market figures to analyse iPhone 3G market performance. He also does not seem to get the fact that Apple makes alot from iTunes and App shop and that these are the reasons for the iProducts success - its a whole solution not just a device like other manufacturers.

As for the Yahoo news article on SE, I think many here are misinterpreting what was said.

Asked whether Sony is planning to end its Sony Ericsson joint venture, Howard Stringer told Die Welt: "It's certainly been a difficult year but buying out a partner is never an easy thing."

Sony lowered its group net profit forecast for the year to March by 17 percent, citing a slump at Sony Ericsson and weakening prospects for its electronics division amid tough price competition.


So Sony is having a tough year, Ericsson is having a tough year and SE is having a tough year - Doh! theres a recession sweeping the Western world. It seems that he's hinting that Ericsson's problems might cause them to sell out their share to Sony but with 'weakening prospects' can Sony afford it?

"We have to work together again as we did two years ago.

This is Sony and SE not the two halves of SE. Two years ago Sony and SE did what? Created the SE Cybershot and phones of course. This may mean Bravia and Playstation branded phones perhaps?!?

"... Or the joint venture will have to find its own solution," Stringer said.

Or maybe SE will have to fix it's own problems without Sony's help.

This does not say the JV is splitting up.
This does not say SE are making customers unhappy and losing sales as a result.
This does not say SE are under pressure to perform or split up.

Those Ericsson fans who reckon /// should buy out Sony's share are dreaming - Ericsson MIGHT be wanting out due to needing money to fix it's own problems.

If Sony does buy Ericsson's share then it won't be as a result of flak over K850i/A200/P-series issues.
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[ This Message was edited by: carkitter on 2008-08-29 09:22 ]
bart
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Posted: 2008-08-29 11:07
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Keep in mind that the Ericsson fans still have alot of knowhow to make or brake a brand. Is sony should kick out then sony mobile would be doomed because of intensive online actions by fans.
if would buy out sony then we would see innovation, and they'll get rid of all that overbranding which doesn't do anything good.
Put the name cybershot on phones with poor cams, or cams made by samsung is plain wrong.

Lets just wait and see what time brings.
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tai020381
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Posted: 2008-08-29 11:13
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So will we be able to see the future Se Bravber Shotycam phone??
carkitter
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Posted: 2008-08-29 11:15
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@bart
You're not paying attention. Sony would not 'kick out' Ericsson, instead it may be Ericsson's idea. A backlash would be immature at best. How would Ericsson create innovation with no funds to pay for R&D? Think about it.
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goldenface
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Posted: 2008-08-29 11:22
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I think the comment "We have to work together again as we did two years ago. " is more of an acknowledgement by Howard Stringer that both sides of the JV need to make more of an effort to work together.

Some news sites are spinning this as a public warning from Sony to Ericsson - which it obviously isn't.
carkitter
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Posted: 2008-08-29 11:41
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On 2008-08-29 11:22:04, goldenface wrote:
I think the comment "We have to work together again as we did two years ago. " is more of an acknowledgement by Howard Stringer that both sides of the JV need to make more of an effort to work together.

Some news sites are spinning this as a public warning from Sony to Ericsson - which it obviously isn't.



The statement is unclear but I doubt it means that, those sort of things don't get aired in public. Also the statement about buying out a partner makes people think along those lines. Since this article is so short I'd suspect it was edited like this purposely to create a false impression.

Did everyone here miss this statement:

He added that it was hard for a company to be as nimble as possible when it works in a joint venture.

"You're always engaged in discussion and negotiation. We and Ericsson are always discussing ways of making Sony Ericsson as successful as it possibly can be," he said


Obviously a swipe at this statement from Komiyama:

"The measures we are taking are aimed at becoming a faster, more agile and more cost efficient organisation that can continue to create innovative products that excite consumers,” source

Perhaps the tension is not between S and E but between SE and Sony...
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goldenface
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Posted: 2008-08-29 11:56
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The statement from Komiyama is a very positive one, whereby he is actually making it known that action is already being taken and measures are already in place that should enable the JV to react quickly to the market.

Its hard to think why Stringer would feel the need to take a swipe at such a statement when its quite possibly the only positive statement to come from the organisation recently.
carkitter
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Posted: 2008-08-29 11:59
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Perhaps it's been interpreted but Sony as SE's 'agility' is hampered by the parent companies?
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norbi_nw
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Posted: 2008-08-29 12:10
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So maybe my next phone will be "Sony X200" ? Quite happy and sad about the breakup (if there will be one).
Happy: New plans, new phones, new everything. no more copy paste phones
Sad: Well... SE is SE.. i liked them together.
Besides; what did ericsson do for sony? By the looks of it, sony did all for ericsson; all the technology is from sony. Ericsson was an european "small" company, while back then sony was known worldwide for theyr products.
We will see by end of 2008

Edit: eighter ways, sony will not back up with mobile phones. It will be on the market no matter whats it gonna be called.

[ This Message was edited by: norbi_nw on 2008-08-29 11:13 ]
Raiderski
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Posted: 2008-08-29 12:14
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Sony = technology, Ericsson = telecommunication solutions/patents?
Dups!
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Posted: 2008-08-29 12:34
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On 2008-08-29 09:46:52, carkitter wrote:

On 2008-08-29 03:07:24, pinguino2 wrote:

Check this MSN Money article about iPhone missing the boat and using SE as standar of mesure against Apple.



I think that blog is seriously flawed, if Apple is 1/3 over capitalised then a major correct should have happened by now. And he's making a common mistake of using iPhone 2G black market figures to analyse iPhone 3G market performance. He also does not seem to get the fact that Apple makes alot from iTunes and App shop and that these are the reasons for the iProducts success - its a whole solution not just a device like other manufacturers.

As for the Yahoo news article on SE, I think many here are misinterpreting what was said.

Asked whether Sony is planning to end its Sony Ericsson joint venture, Howard Stringer told Die Welt: "It's certainly been a difficult year but buying out a partner is never an easy thing."

Sony lowered its group net profit forecast for the year to March by 17 percent, citing a slump at Sony Ericsson and weakening prospects for its electronics division amid tough price competition.


So Sony is having a tough year, Ericsson is having a tough year and SE is having a tough year - Doh! theres a recession sweeping the Western world. It seems that he's hinting that Ericsson's problems might cause them to sell out their share to Sony but with 'weakening prospects' can Sony afford it?

"We have to work together again as we did two years ago.

This is Sony and SE not the two halves of SE. Two years ago Sony and SE did what? Created the SE Cybershot and phones of course. This may mean Bravia and Playstation branded phones perhaps?!?

"... Or the joint venture will have to find its own solution," Stringer said.

Or maybe SE will have to fix it's own problems without Sony's help.

This does not say the JV is splitting up.
This does not say SE are making customers unhappy and losing sales as a result.
This does not say SE are under pressure to perform or split up.

Those Ericsson fans who reckon /// should buy out Sony's share are dreaming - Ericsson MIGHT be wanting out due to needing money to fix it's own problems.

If Sony does buy Ericsson's share then it won't be as a result of flak over K850i/A200/P-series issues.
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[ This Message was edited by: carkitter on 2008-08-29 09:22 ]


Most of what you point out holds true. But, then you start speculating about Ericsson wanting to sell because of their problems- that is pure speculation on your part.

@norbi nw

I suggest you google Ericsson and read some more on them. Ericsson contributed their mobile platform into this venture. If you know anything about Ericsson's technology you would know that networks and other cellphone manufacturers use that very technology today.
It's not what you do or even how you do it but in what state of mind you do it: Dups! 2009
carkitter
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Posted: 2008-08-29 12:43
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@EMS06

Yes it is speculation at this stage. I don't wish to see the JV breakup and I don't think it is on the cards either. I was just rplying to what was in the Yahoo news article.

A very good (but old - 2006) piece here on Sir Howard and his Sony reforms. I take back my comments about tension between SE and Sony, it doesn't seem to be the case after all.

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[ This Message was edited by: carkitter on 2008-08-29 11:45 ]
Dups!
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Posted: 2008-08-29 12:59
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Personally, I see Q1 2009 financial results as the decision maker for this company. I've always said that Sony and Ericsson should be involved in their "baby", not too much involvement but sufficient enough to stay in the cutting edge of technology.

As much as I said they (SE) deserve what they are getting due to their lacklustre approach to their cellphones, it would be a shame for them to close shop because I do feel they can pull it off if they sort themselves out.

It's not what you do or even how you do it but in what state of mind you do it: Dups! 2009
S4k1s
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Posted: 2008-08-29 13:17
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On 2008-08-29 09:46:52, carkitter wrote:

Those Ericsson fans who reckon /// should buy out Sony's share are dreaming - Ericsson MIGHT be wanting out due to needing money to fix it's own problems.


In what way is a company that makes 6 billion (SEK) profit on a really bad year in need of money?
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