CEO says Sony is on track for comeback

Sony Corp., the Japanese electronics and entertainment company, is headed in the right direction although its comeback is not yet complete, its chief executive said Thursday.

Kazuo Hirai told reporters that Sony is now more nimble and focused under his leadership which began nine months ago. Sony has lost money for the past four years, and has fallen behind powerful rivals such as Apple Inc. and Samsung Electronics Co. in profitability and innovation.

Hirai acknowledged Sony had gotten bogged down in its sprawling bureaucracy, and stressed he is making a point of personal involvement in product development to make sure good ideas don't get squelched.

"I'm shepherding several of those projects personally myself to make sure that it doesn't get held up in the bureaucracy, or it doesn't suddenly fade away in the approval process," he said at Tokyo headquarters.

Like other Japanese electronics makers, Sony is taking a beating from Chinese, Taiwan and South Korean rivals that offer products at much cheaper prices. Hirai said Sony will target customers willing to pay more and won't get sucked into a price war.
The make of Bravia TVs and PlayStation 3 game machines reports earnings next month for last year's final quarter. The numbers are expected to highlight a Sony midway through its recovery.

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360ICE1953d ago (Edited 1953d ago )

To me, it seems Hirai has really kicked the ball out of the park. Sony did so much last year, it's unheard of. Sure, there are plenty of things that remain to be done, like making a profit, but hey, I won't be surprised if they get there eventually!

He's sped up the company and he's drifting around the difficult turns. Ridge Racer has taught him well.

Akuma-1953d ago

i cant wait for ps4.

next gen starts when ps4 is here.

Army_of_Darkness1953d ago

"To me, it seems Hirai has really kicked the ball out of the park."

I think you meant to say hit the ball out of the park. LOL! kicking the ball out of the park wouldn't go to well in soccer:-p

anyways, I don't mind paying a little extra for Sony products just as long as the quality is still high.

-Alpha1953d ago

"next gen starts when ps4 is here."

N4G is going to be a cesspool when next gen rolls around if people are already acting like this.

Red_Orange_Juice1953d ago

Japenese, they're so likable :D

RememberThe3571953d ago

@Alpha: It'll be a cesspool because people will have the nerve to be offended by a comment like that. Why does saying that piss so many people off? Why the f*ck do you guys care so much?

hazardman1953d ago

I think most of the disagrees came cause the thread had nothing to do with xbox and everything to do with sony. So don't take it personal. The ones who agreed like myself probably enjoy both sony and ms systems. That being said when your in a all sony thread better to keep anything ms out.

-Alpha1953d ago (Edited 1953d ago )


Maybe because those kind of comments are inflammatory? We know very little of what's happening next gen and what the exact specs of either console are, yet we have people already acting as one console makes the other obsolete. People have such a major axe to grind, and they don't even try to hide it. Most rumours (if they are of any use) point to these two consoles being very close and advantageous in their own rights, yet "next gen starts when and only when PS4 arrives".

MikeMyers1953d ago

"@Alpha: It'll be a cesspool because people will have the nerve to be offended by a comment like that. Why does saying that piss so many people off? Why the f*ck do you guys care so much?"

Probably because almost every article has at least one person who feels the need to sidetrack a topic into something else. This topic for example is about Sony rebounding from years of losses to one person who has to put up the home team flag and wave it around while downplaying the competition.

If you don't think this place is a cesspool of fans continually backing one platform/company over another then you must be in private chats all day long.

"next gen starts when ps4 is here. "

43 agrees, 20 disagrees

"And when 720 is here to."

16 agrees and 45 disagrees.

Anyone else see a problem here? AngeliclceDiamond didn't even suggest the 720 was the system to start it, just to be part of the next gen and still got totally outnumbered.

MysticStrummer1953d ago

"Anyone else see a problem here?"

@MikeMyers - No. It's called having a different opinion. Try not to take it personally.

poet2151953d ago

To all that complain about the PS3 supporters, on this site...where were you guys at 2006-2008? Users such as Bloodmask & The Mart, are just a few of the names that used to really bash folks for owning a PS3. People on here were in heavy favor of Xbox 360 & if you spoke anything nice about PS3, they ganged up on you....about how it had no games....doomed to flop....blu ray was a rumble....psn was name it, they picked on I guess the times & the landscape has changed somewhat.

omi25p1953d ago (Edited 1953d ago )

Its not called having a different of opinion when someone is stating a fact.

The 720 will be part of next gen saying it isn't because you're a sony goggle wearing fanboy just shows how ignorant you are that you disagree with facts.

This website is already ruined by people who obsess over one console and its made even worse when people are too stupid to see they are doing it.

When you read through the comments and sift through the stupid articles of the greatness of one console and the failures of the other you just see how truly pathetic gamers have become.

Millions of people buy COD, On this site they are all stupid, Millions of people pay for LIVE on this site they are all retards wasting their money.

Its just bias followed by more bias.


You have just listed to users who are no longer on the site, then brought up comments from different people 7 years ago.

So great arguement.

-Alpha1953d ago (Edited 1953d ago )


I was around. I was also around on other sites, and also around last gen when Xbox was relentlessly laughed at for even existing, way before N4G even existed. What does any of that have anything to do with this? I don't get why people hold grudges based on what some trolls on this site said earlier in the gen as if that justifies your turn at doing the same.

What makes it true? It's as equally silly as "next gen starts when 720 is here", it only shows that people are incredibly spiteful even without any real evidence to back anything up. People have already made up their minds, and that's fine, but to then try to act as if their console alone is all that matters shows how deep rooted people's agendas are.

mwjw6961953d ago

WOW Sony fans are legion on this site...

PS4 comment 57 agree/30dis.
720 comment 24 agree/ 58 dis.

Whats the matter fanboys no games to play this holiday???


EVILDEAD3601953d ago (Edited 1953d ago )

'I don't get why people hold grudges based on what some trolls on this site said earlier in the gen as if that justifies your turn at doing the same.'

'What makes it true? It's as equally silly as "next gen starts when 720 is here", it only shows that people are incredibly spiteful even without any real evidence to back anything up. People have already made up their minds, and that's fine, but to then try to act as if their console alone is all that matters shows how deep rooted people's agendas are.'

Well said Alpha

But see YOU are allowed to say these things while others cannot.

I lost a bubble yesterday for simply saying..

'Lol @ the same old troll attempts for EVERY single MS ad from the same people.'

And then moved onto the topic and that was simply an announcement for an Xbox arcade game that got trolled to death.


But what Alpha is insinuating is a daily event on, but I had I made the same quote as Alpha in this article I would have lost two more

As for the topic..

I think Sony is definately in a better place than they were last year this time.

It's good as a PS3 owner myself some big exclusives finally coming around that's generating some excitement.

But, if it really plays out like it should I believe that the PS4 official announcement will be where they as a company finally get the ball rolling in the right direction.

I think is going to be some really fun times for gamers this year, but I think the same ol' rhetoric will unfortunately win out the day.


Wenis1953d ago

I can't wait for when 720 and PS4 are finally here, it'll be like the good old N4G days all over again

gamernova1953d ago

So if I say that we have next gen graphics on the everyone going to disagree with me? haha Jokes aside, I am glad that Sony is making a come back. Honestly it is quite impressive they came back from such a bad screw up like pricing and coming out after the 360. But if anyone can do it, they can. I will always have a soft spot for Sony even though I am a PC gamer now.

Kevin ButIer1953d ago

Cesspoool... In 2006 360 trolls ruled this place...

insomnium21953d ago


Once we get 90% of the media saying Sony wins and Nextbox is doomed call me. Until then there is no way the grudge can be settled or evened out. If you were her you know how bad it was. Nobody cares about fanboys. This thing became a war because of the media propaganda imo. That's why I was caught up on it anyway. The double standards and the flip flopping from the daily fanboys didn't help either.

Boody-Bandit1953d ago (Edited 1953d ago )

"N4G is going to be a cesspool when next gen rolls around if people are already acting like this."

Is going to be? The elimination of the zones turned this place into a cesspool ages ago. That and allowing any thrown together blog to pass itself off as gaming media. Which is why I am basically a ghost here now and have been for the past year or so. I LOVE gaming but have no tolerance for rhetorical nonsense from fanboys.

How many us vs them, pass or fail, most disappointing over hyped repetitive yadda yadda articles can one site allow?

I can't wait for the next generation to get here. IMO it's overdue. I hope Sony shoots for the stars. It will only be good for us gamers (competition keeps us moving forward).

MikeMyers1953d ago (Edited 1953d ago )


"No. It's called having a different opinion. Try not to take it personally. "

An opinion is saying you think one will do better than the other or you will buy one over the other because of whatever reason. Disagreeing that when the 720 comes out will be part of next gen but only agreeing the PS4 will be isn't an opinion, it's stupidity. How can one be part of next generation and the other not?

I don't work for either company and I am eagerly anticipating each system and what each offers. Why would I say something as dumb as one being next gen and then disagree with someone that says next gen also includes the 720? What are we, a bunch of children? So no, I didn't take it personal, I just found it odd how that got so many disagrees.

UltraVegito1953d ago

Kaz said he's targeting a audience that's willing to pay more for their products and won't get tangled in a price war...

I'm getting worried,I just hope sony doesnt do anything crazy with the ps4 price :S

Hozi1953d ago

"Riiiiidddgggeee Raaaceeerrrrr!"

tamathadavid21953d ago

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SegataShanshiro1953d ago

Wii U is next it it or not

sikbeta1952d ago

They're losing money still, going for like 9 years straight but lets see next quarter results :P

1952d ago
+ Show (24) more repliesLast reply 1952d ago
sak5001953d ago

Yeah like firing 10000 people.

360ICE1953d ago (Edited 1953d ago )

Yeah, strange thing how companies in trouble have to get rid of costs that are not completely necessary, liquidate their assets and reinvest.

Not making money is not the same as not making a profit. Companies posting losses years in a row are not completely unusual in the tech-industry, where you have to invest to stay ahead.

Riderz13371953d ago

It's not his fault. They are restructuring the company and if that means having to let go of some employees then so be it. You can't continue to pay people when you aren't making any money. Hard decisions have to be made whether you like it or not.

kenshiro1001953d ago

...Because other companies didn't have to lay off other people because of a terrible economy.

Really sad you have to stoop that low to mock the fact that people lost their jobs.

SilentNegotiator1953d ago

Oh I'm sorry....did I miss something? Because he didn't say that they MADE a comeback, he said that they could be on TRACK for a comeback.

vlonjati771953d ago

sak500 sony cut off(sold to others) certain divisions ,meaning those 10000 people will get payed by the other company ,just not under Sony's payroll.they didnt fire anyone.Sorry about my simple english .Its not my mother language.

Flavor1952d ago

Enron CEo says comeback is on track! Bear Sterns CEO says on track for a come back!

+ Show (3) more repliesLast reply 1952d ago
Haha1231953d ago (Edited 1953d ago )

Hit ball out of the park yet didnt make the company money? what???....

dude thank god you dont own your own business

Axe991953d ago

It takes time to restructure a complicated conglomerate like Sony, that had got itself more than a little tangled (gamers are lucky the gaming division was kept honest by Microsoft and Ninty, so couldn't drift too far out of line and is still delivering great, cost-effective products). Making fast judgements on long-term restructuring (that does seem to be going well) is not good business sense either ;).

Knight_Crawler1953d ago (Edited 1953d ago )

I do not see Sony every getting back to the top like they were in 90's and early 2000's.

Sony's main problem was that they did not evolve with the times and stayed old school for too long.

Look Apple...they hit it big with the iPod and continued to hold that trend and keep popular with the kids, teens and old people.

Even Samsung evolved and became part of pop culture.

Veneno1953d ago

Well Sony, at least the Playstation division, are nowhere near as bad a shape as Nintendo was the last 2 gens with the N64 and Gamecube falling short. Then the Wii came out and everyone started worshipping them again. And once again people are having doubts with the Wii U. So no, its still very possible for Sony to make that comeback.

Theyellowflash301952d ago

Sony's main problem is developers stopped making third party exclusives for free. DMC, Final Fantasy, XenoSaga, and many other third party games were just PS2 exclusives for no reason. Microsoft and Nintendo started getting some of those traditional PS2 exclusives and the rest is history. Sony used to have Monster Hunter and Dragon Quest too. Nintendo has them now.

jaymacx1952d ago

Sony making a comeback has more to do with Sony as a whole than just the play station division. Like what was said Sony needs to make electronics that will attract the masses (not just psx). Nintendo only has videogames. Sony does electronics. Old school Sony had the portable music dominance. Yet today they get owned by Apple and Samsung. I hope the Ps4 does well. I am glad they won't go the low end route and start making cheap products. Have anyone of you bought headphones from a dollar store? (Just awful)

NastyDaddeh1953d ago


" LOL! kicking the ball out of the park wouldn't go to well in soccer:-p"That would be good in kickball. u lose.

showtimefolks1952d ago

Sony has made a profit this quarter of $223 million. I am liking this new approach hopefully Sony will recover and be stronger than before. I also agree I am willing to pay more for quality. Comparing Vizio TV brand to Sony for example you may save some bucks but you gonna end up not getting the best quality product

TV division for Sony has lost money 8 years In a row so that has to be fixed.

Also this is why VIta has not gotten a price drop, why give it a pre drop and maybe sell few million more nuts but also loose money in the process when you can sell 2-3 million less but actually make a profit.

Expect PS4 from day one to make a profit
Expect PS4 to be at the most $450 and at the least $399-349

I know after ps3 that may sound like a down grade but neither Sony nor MS want to over price and not be able to compete with wii-u.

I would buy the ps4 at $500-600 but I don't see that happening ever again. That's why when steambox gets priced around $800-1000 it won't do well compare to consoles because you won't have people going into bestbuy and buying that over the other 3 consoles which will cost a lot less and offer exclusives that steambox won't get

+ Show (3) more repliesLast reply 1952d ago
DivineAssault 1953d ago

Now that the company is in good hands, it will move forward again.. The previous idiot really ruined their great name.. In gaming, over priced tvs, tabs, cameras, etc.. I know hes leading sony teams to create a unified ecosystem w all sony products.. Kinda like apple has but the sony way.. I will continue my support for PS & if they make it worth my money, itl expand beyond that into tvs, tabs, cameras, phones, etc

miyamoto1953d ago (Edited 1953d ago )

tsunamis in Japan and Thailand, earthquakes under nuclear power plant compounded Sony's problems too

Ron_Danger1953d ago

This is very unfortunately true

DOMination-1953d ago

The 'idiot' you mentioned is Sir Howard Stringer. He had many great ideas but the Japanese were too stuck in their ways and wouldn't pass any of his plans.

The company needs a kick up the ass and luckily Kaz is trusted more than Stringer because he's not Welsh. But he shares many of the same philosophies.

JoGam1953d ago

Sony NEEDS to learn to blur both western and eastern countries. The thruth is Sony can learn from MS. MS can also learn from Sony but Sony needs to pick things up here in the US. I believe in them. Fingers Crossed

Anon19741953d ago (Edited 1953d ago )

Well things certainly seem to be moving in the right direction. Earnings per share showed Sony was losing almost $5 per share just a year ago, and the most recent report (not this one coming up in a couple of weeks) showed the company was almost out of the red with a loss of only 0.20/share. I don't care who you are, that's obviously tremendous improvement.

And with the foreign exchange rates stabilizing and projected to continue, this should help mitigate the losses due to selling to the US and Europe. At one point after the market crash, the yen was up 25% compared to the Euro and US dollar. So for every dollar spent overseas, Sony was losing 25% revenue compared to the year prior. That's huge.

Part of the problem has also been Sony's reluctance to outsource development outside of Japan to cheaper asian markets to the degree of their competition. In staying loyal to their Japanese workers, they weakened their position due to the costs of doing business in Japan. They've started outsourcing the past few years finally, which is good for the company in order to stay competitive, but you've got to feel a bit sorry for them losing that particular battle. No one likes to see a company forced to outsource, but that's the global marketplace for ya.

Another issue with being as large as Sony, after time you tend to become bloated, with your hands in too many things. They've also come a long way in terms of focusing their product offering, and there's still much to be done. Sometimes you have to contract to expand.

Ultimately though, they have to be happy with how the PS3 performed last year compared to it's competition. The entire industry was down but PS3 sales and software managed to more or less keep pace with the year prior (from what we saw reported Jan-Sept) while their competition saw year over year sales fall by almost half.

Hitting the 70 million milestone and, if industry reports are correct, ultimately taking second place globally despite being nearly 9 million consoles behind the 360 after their first holiday season just proves that despite the PS3's higher price point, demand has always been there. I never understood that myth that the PS3 botched it's launch or got off to a slow start that we hear parroted so often in the media despite numbers showing otherwise. Sales of the PS3 may have been on pace with the PS2 at the start, but the worst recession in a generation tends to put a bit of a damper on sales when you're the most expensive console on the market, and the PS2 dropped below $199 so quickly you really can't compare sales of the two. Given the market and economic environment, I'm honestly surprised the PS3 sold as well as it has, and continues to sell even 6 years in.

I wish Sony, Microsoft and Nintendo the best of luck leading into the next gen. Hell, here's hoping the next few years are more profitable for everyone in the industry.

Edit: Kinda puzzled by the disagrees. Everything I mentioned is easily verified with a simple google search. If you want to offer a counter point, feel free to hit me up on PM (only one bubble for years so can't really talk here). I'm always up for a spirited debate about the gaming industry. Cheers!

nukeitall1953d ago

What people don't realize is that when you restructure a company and cut cost to save money, it might just be a short term benefit while a long term damage.

An example is, if you cut cost in R&D, your company will no longer have as much research to draw new products from in the future.

Also firing 10,000 people in 2012 is no small matter in saving costs helping reduce that loss per share.

Sony's problem is they always over price their products compared to the competition, and they still continue to do so.

Sony's biggest problem still isn't solved, which is their TV division. What about Sony's TVs will make me buy them over a Samsung?

I'm looking for a TV myself now, and a Samsung is still hand over fist the better value. In fact, in almost all sectors Samsung is hands over fist the better product at a better price.

Until I start seeing that change, there isn't a real recovery, but rather a company that props up their financial statistics by cutting cost (maybe in crucial areas). Expect major losses going into the release of PS4, so I hope Sony has the cash for it.

BLow1953d ago

Did you even read what darkride wrote. The reason Sony products cost more is because they don't outsource as much as the other companies do. It's hard to stay in the black when you might be paying your workers $10 per hour compared to another company paying theirs 10 cents an hour. It's simple math.

Just make sure you let us all know when you think Sony's is on the right track. Call them up and tell them that they need to outsource all their jobs to Mexico or China to make their prices go down. Isn't that the same Sh!t that goin on in the U.S.

Change takes time and doesn't happen overnight. Kaz has been the head for how long...9 months..if you can do better please apply for the position and show us how its done.

InTheLab1953d ago

You're right about the restructuring and cost cutting but wrong about Sony's pricing. Their TVs are worth the price because they last.

Their TV's are of a higher quality than Samsung/Sharp/etc and last longer. You go out and buy a cheap product, you end up with a cheap product. Samsung TVs and Tablets are garbage. The only quality coming from Samsung is the GS3 which is the best phone on the market right now.

nukeitall1953d ago (Edited 1953d ago )


I'm sorry to disappoint you, but my personal experience has been excellent with TVs like Sharp, Samsung and even Vizio (relative to price).

However my Sony TV was way overpriced, and didn't support the correct resolutions for my VGA connection. My cheaper Sharp TV did. This is just some examples of why I don't want a Sony TV. Some aspects are good, but they often lack things others offer for less.

Things like this, with widespread poor 3D support on their TVs (crosstalk on a number of lines of Sony TV) while Sony is pushing 3D as a leader doesn't help either:


From where I'm standing, it looks like Sony TVs are crap. It used to be that Sony Trinitron TVs where great, but the glory days are over.

Show me great products at reasonable prices and the *real* recovery will commmence instead of financial statistics gymnastics.

Christopher1953d ago

***Also firing 10,000 people in 2012 is no small matter in saving costs helping reduce that loss per share.***

They estimate 10k (or 6% of Sony's workforce) being cut from the point that the article was made through 2013. Not just in 2012. It's a long term estimate of the jobs they'll have to cut, not how many they cut in 2012, which is far from correct.

JOHN_DOH1953d ago (Edited 1953d ago )

Samsung uses cheap capacitors in they're tvs. Only the high end models have quality components.
Even after that still using cheap capacitors.
Electronics with lower quality capacitors might look the same as one using higer quality caps but tend to not last long or have problems. If you look at high quality pc motherboards or power supplies they usually list "made with high quality japanese capacitors" in their features.

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PinkFunk1953d ago

darkride66, well written and well thought out post. It was a joy to read. Cheers and um, bubs+

WilliamH1953d ago

I really do love Sony, not just the PS3 I have a Bravia, ipod dock, headphones, blu ray player. Always solid, well made & reliable.

hazardman1953d ago

I like Sony to but just for their PS stuff. I don't think they make the best blu ray players anymore or the best tvs, but that being said their products are usually good. Anyway all I can say its good Sony is doing much better on all fronts. Although Sony(one of many companies) didn't create or own the blu ray tech. The are the ones who made what it is by being the 1st to utilize the tech, and I'm most grateful for that because blu ray flix are the Bomb!!

cee7731953d ago

How when the best bluray player is the ps3
And what kills me is how many complain and say Sony TV's are crap when Samsung makes the screens for them l have a 45in lcd bravia that smokes my 32in led Samsung (this TV is crap from the sound to the picture ) my 32in old heavy flat screen bravia smokes this TV the sound and picture of sony's TVs are unrivaled Sony,panasonic and sharp makes the best TVs pound for pound and they are all from Japanese corps

And BTW Sony is a founder of bluray
Sony owns the most patents for bluray discs
While Panasonic owns most for blu ray players etc.

hazardman1953d ago (Edited 1953d ago )

I can tell by the way you typed that you felt offended. I wasn't knocking Sony as I've owned plenty sony products. My opinion is mine and mine only. My Panasonic Viera is way better than. Any sony tv I've owned. But you should have done some more research before you tried to comment on this. From your comment your obviously a Sony bot. I'm sorry for lenghty post/reply but I didn't know how to link to this site. Still read up and get abetter understanding of what I'm talking about.

The Blu-ray Disc Association (BDA) is the industry consortium that develops and licenses Blu-ray Disc technology and is responsible for establishing format standards and promoting business opportunities for Blu-ray Disc. The BDA is divided into three levels of membership: the Board of Directors, Contributors, and General Members. [1]

The "Blu-ray Disc founder group" was started on May 20, 2002 by MIT and nine leading electronic companies: Sony, Panasonic, Pioneer, Philips, Thomson, LG Electronics, Hitachi, Sharp, and Samsung. [2] In order to enable more companies to participate, it announced in May 2004 that it would form the Blu-ray Disc Association, which was inaugurated on October 4, 2004.

JBSleek1953d ago

If 4K OLED or that Xperia Z is any indication then maybe Sony is ready to join the ranks of Apple, Google, Microsoft, Samsung, Vizio, etc. I think that would be best really. If you could but some Sony hardware behind some really impressive software I think many people would flock to it.

Sony at CES was actually impressive only really upstaged by Nvidia and that isn't really fair because the Tegra 4 is a real beast.

Aibo1953d ago

Sony to join ranks of Vizio? Sony may be in bad shape for a few years but they are still THE BRAND for the likes of Vizio.

JBSleek1953d ago

Vizio has a better TV business than Sony. Sure Vizio doesn't have near the money but they sell and are well and are said to be bringing in the cheapest 4K set.

Also their new 10 inch and 7inch tablets are the best in class right now when they launch especially that 10 inch Tegra 4 beast and they made some really good phones coming internationally.

Then their all in ones and laptops are bloat free meaning that they run smoothly and are some of the most eye pleasing devices.

Sony is a good brand but just because they have the brand doesn't mean they have been bringing it. These smaller companies are really coming up and showing how to do it.