Sony Ericsson shifts focus amid downturn

Sony Ericsson shifts focus amid downturn


Sony Ericsson will shift its focus towards high-end products and has predicted a tough mobile industry climate for 2009.


The handset manufacturer plans to look heavily at its product portfolio and focus on more expensive, higher margin products rather than less profitable devices.


Sony Ericsson chief executive, Hideki Komiyama, said: ‘We have to start analysing products where we generate higher margins and eliminate the models where we have lower margins.’


However, he added that in some markets the company still needs a mix of high-end and cheaper phones.


Komiyama, who will release Sony Ercisson’s official estimates when it reports its earnings next week, said he believed the company’s global market share of 8% would be retained. He predicted that unit sales across the board could be down by up to 6% as consumer demand slows.


Sony Ericsson took over Motorola as the world’s No.3 mobile phone maker in the third quarter. However, Komiyama admitted that Motorola, LG and Sony Ericsson’s shipment volumes were similar. He added: ‘We just happened to be No.3 in the third quarter. I’d like to be No.3 by ourselves by 2011.’


Written by Mobile Today
Mobile Today


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