Financial Analysts Predict Sony Split News

A report in the Nikkei Business highlights the continued plight of Sony Corporation as it struggles to embrace itself as both an entertainment and electronics company. Having previously announced the loss of 10,000 jobs worldwide, confusion continues to circle Sony Corp with Japanese investors viewing the company as an electronics firm, whilst Americans see it as an entertainment company in the movie, music and games industry.

Sonyâ??s attempt to bolster the electronics division recently has been viewed by some as a morale-boosting exercise, however the article goes on to state a contingency plan that newly appointed Chairman/CEO Howard Stringer will put into place.

If the electronics division doesnâ??t show a turnaround we can expect a major reshuffle of the Japanese executives and a bold reorganisation plan to bolster the entertainment division, of which Stringer was largely responsible for previously.

Nikkei Business goes onto suggest that the game division will be affected by such changes, shifting hardware over to the electronic division and software development reorganised into the entertainment division.