Sony has identified mobile as one of the key areas to turn the business around as it announced jobs cuts of 10,000.
The electronics company unveiled its fightback strategy in Tokyo today (12 April). It revealed a five point plan for rebuilding the business, which included strengthening the core businesses of digital imaging, games and mobile.
Sony will integrate the research and development, design engineering, and sales and marketing wings of its smartphone, tablet and laptop businesses, which it said would speed up delivery of 'compelling' products to market. It said it would 'aggressively' use its digital imaging and gaming technologies in its mobile space. CEO Kazuo Hirai told reporters: 'Smartphones will become the hub device.'
The company said that by the end of its 2014 financial year, it will have global mobile sales worth ¥1.8tr (£13.96bn) and 'significant' improvement in profits. The cost of restructuring and cutting jobs will be ¥75bn (£581.1m).
Sony said that by 31 March 2015, it will have sales of ¥6tn (£46.5bn) and an operating income margin of 5% in its electronics business. Among the other planks to the strategy are turning around its television business, targeting emerging markets, and developing new technologies in areas such as healthcare.
Hirai said: 'We must accelerate the speed of our management, reform our business portfolio, and innovate.
'Our goal at Sony is to become a company that creates products and services that stimulate curiosity in customers around the world and gives them an emotional experience.'
The news of the job cuts leaked earlier this week. On Tuesday, it warned shareholders it expects to lose ¥520bn (£4.05bn) in its current financial year, more than double the estimate it made two months ago.
Editor: Graeme Neill