Sony Sells VAIO Brand PC Business, Spins Off TV Business To Focus On Smartphones and Tablets
The venerable company has been trying to turn its PC unit around for a while now but announced that, due to the “drastic changes” in the PC industry and other internal factors, it feels that selling off its PC assets is the best move.
No more of this...
Sony is selling its VAIO brand to Japan Industrial Partners, Inc. (JIP), which sell the computers to consumers and businesses in Japan under a new brand, at least at first. The deal should be completed by the end of March, and Sony will no longer sell its VAIO machines after the spring 2014 lineup.
The company will continue to handle customer service for Sony VAIO buyers, and 250 to 300 of its employees will likely be hired by JIP, and for those who aren’t, Sony will look into moving employees to different areas within the company and offering early retirement support for those who qualify.
...but more of this
Sony’s TV business has been struggling with profitability as well, although that’s expected to turn around as the company launches higher-end 4K TVs and continues to find strong footing in the market--number one in the U.S. and 75% market share in Japan. In order to accomplish the feat, Sony is splitting off its TV business as a wholly-owned subsidiary.
Unfortunately, in executing this plan, Sony will be cutting some 5,000 jobs--1,500 in Japan and 3,500 overseas--by the end of the year.