Sony To Spin Off Its Audio and Video Business
Editor’s Note: It is not clear if this would include the professional business or just the consumer business.
FoxBusiness.com reports that Sony Corp. Chief Executive Kazuo Hirai’s comeback plan, dubbed One Sony, is starting to look more like Several Sonys.
The Japanese electronics and entertainment company said Wednesday that it would spin off its video and sound segment into a separate wholly owned subsidiary by October 1, following a similar move last year for its long-troubled television business. The goal is to get them more focused on profits while the Sony parent looks for growth in businesses such as movies, music, videogames and image sensors, said Mr. Hirai.
After years of losses, Sony now aims to lift operating profit to Yen500 billion ($4.2 billion) in three years. It expects to eke out an operating profit in the year ending in March, with the TV business turning to the black for the first time in a decade.
Mr. Hirai said Wednesday that he envisioned spinoffs of other units. He also said the company would consider a sale of the TV unit or the company’s struggling smartphone business, though he said nothing was currently in the works.