9/29/2008 12:07:00 PM
Sony pushing for exit out of joint venture with Ericsson
Speculation continues over the future of the Sony Ericsson joint venture after comments made by Sony’s CEO and chairman, Howard Stringer, last month.
There have been reports that Sony wants to break the relationship with Ericsson with senior executives at Sony believed to have discussed that the value of the joint venture is held in Sony’s brands, such as Walkman and Cyber-shot, questioning the contribution of Ericsson.
Asked by a German newspaper if ‘it’s time to part company with Ericsson’, Stringer (pictured) said: ‘It’s certainly been a difficult year, but buying out a partner is never an easy thing.’
Sony Ericsson’s new CEO, Dick Komiyama, has begun a round of brutal cost-cutting after profits dived by 97% at the last results.
Stringer added: ‘One of the most important attributes in the digital age is to be nimble, and it’s harder in a joint venture than with your own company because you’re always engaged in discussion and negotiation.’
Asked if the joint venture would be standing in three years, he said: ‘We have to work together again as we did two years ago or the joint venture will have to find its own solution.’