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It is no secret that Sony’s smartphone division is struggling. The company recently announced that it will be expanding the retail life of its devices to increase profitability and will focus on the mid-range and high-end market.
Now, according to sources of Nikkei business daily, Sony is reportedly looking to cut as much as 1,000 more jobs in its smartphone division. The job cuts will mainly occur in China and Europe and will occur in a phased manner by the end of March 2016.
In a bid to return to profitability, Sony had announced 1,000 job cuts in October 2014 as well. When combined with the 1,000 additional job cuts as indicated by the report, the company’s total workforce will shrink by 30% to only 5,000 employees by March 2016.
Sony is expected to announce its latest round of job cuts on February 4th, when it will be announcing its earnings report for the April-December 2014 period.
It is sad to see Sony’s smartphone division struggling to make a profit even with remarkable handsets like the Xperia Z3 and the Z3 Compact. However, with smartphone sales expected to decline in the coming few years, this move from the Japanese company makes sense as it will at least help in it bleeding less money.
[Via Reuters]
