Sunday, September 25, 2005

Sony will cut 10,000 jobs

Sony has decided to cut 10,000 jobs and a number of product models over the next few years, as it reorganizes its electronics division in an effort to reduce costs.

In reorganizing its electronics business, Sony is betting heavily on Cell, a microprocessor jointly designed with IBM and Toshiba that it expects to use in future video game consoles. Sony's chief executive officer will directly oversee the division which promotes and develops the processor and related products and technologies.

A similar product-specific focus will be extended to the whole of the electronics division, with the abolition of the existing structure of "network companies" and the creation of clear business groups for specific product categories, Sony said.

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