Sony mobile phones to wind down its presence

Facing stiff competition in the smartphone segment in several markets the company has decided to curtail its presence in US, India, Brazil and China, and would rather concentrate more on its home market of Japan where handsets are usually launched first, followed by a release in the US, if at all.

The decision was taken after Sony drew up a chart that sees considerably less growth in these markets compared to last year’s estimates (0.3% versus last year’s estimate of 8.1%). However, this does not mean that Sony will be exiting these markets. The company will continue to operate in these markets, but will launches limited handsets, the one’s that the company expects will be received well there.

Sony seems to have fallen victim to today’s market that seems to be shifting towards Chinese Original Equipment Manufacturers (OEMs), who are known for creating value for money devices. According to investor presentation slides obtained by Xperia Blog, Sony has told investors in Japan at a recent event that the company's mobile business will be further "defocused" in the United States, as well as in India, China, and Brazil. Sony plans to rather ramp up efforts to market its handsets in East Asia, Europe, and the Middle East. Sony expects Latin America and the Asia Pacific region to continue to generate steady profit and growth.

Sony announced the launch of Xperia X series in America back in May, but the handsets have not yet begun shipping. The Xperia X line of handsets has been met with critical apathy, if not outright disdain in some cases.

Sony will begin contraction of business in the said market in the fiscal year use fiscal year 2016, which for the company, starts on April 1st.