James Delahunty
5 Aug 2011 21:36
Sony has ruled out exiting the TV business despite continuous losses to its divisions.
Kazuo Hirai, head of Sony's consumer businesses, said that the company was not considering selling off any of its factories, and that it would not exit a TV panel partnership with Samsung Electronics. "Televisions are a core business for Sony and it would be unthinkable for us to shrink that business," Hirai said.
The company has said it will put forth plans to reform its troubles TV business this month, while warning that losses on TVs could widen this year. In the past, it has sold off factories in Spain, Mexico and Slovakia, and outsourced much of its production to third parties.
The company's TV business is heading for an eight straight year of losses, as it struggles to cope with competition from lower-cost Asian rivals, and even with Samsung. Hirai was clear however that the company has no plans to dismantle its partnership with the South Korean firm.
"We are absolutely not thinking of abolishing the joint venture, and it's not something that would be easy to do," he said.