Sony is looking into trimming the budget of their entertainment division. The company has enlisted the services of consultancy firm Bain and Co to help cut the fat, according to MCVUK.
The $100mil, about £62mil, cut will include job losses in both Sony’s film and game production sectors. This is to help the company cut costs and return to earning a profit. The beginning of a new generation is an expensive time, especially as most consoles are sold at a loss to get them into homes.
Sony have been warned that if they are not careful their debt rating will be re-classed as “junk“, at least according to Moody’s Investor Service. Something very similar has recently happened to Microsoft, with a familiar sounding call from some investors to have the company break-up parts of the business to refocus the brand on producing electronic goods.
What do you think? How do you feel Sony could get back on the road to making a profit? Let us know in the comments.