Comments on: Sony hires a professional fixer
The Japanese electronics giant, in the middle of an internal makeover, hires George Bailey from IBM, a longtime electronics industry consultant.
The Japanese electronics giant, in the middle of an internal makeover, hires George Bailey from IBM, a longtime electronics industry consultant.
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Problem is, his competitors are already doing it; Apple, Amazon, Microsoft, all have figured out how to integrate hardware and content to create a synergy that distinguishes and boosts their products. And they are doing it *without* content they own outright.
Sony, on the other hand, owns music and movie studios as well as the platforms on which to deliver them and spend significantly more than their competitors with significantly less to show for their efforts. Their music service is history, their ebook format has already been displaced by Adobe's plague, and their last hope, PSN is a work in progress that doesn't seem to progress much. If anything, PSN seems to be moving backwards ,now that in a fit of corporate "wisdom" Sony decided to charge their partners for the privilege of giving away free content (demos, promotional videos, even bug fixes) to their customers.
Good luck to Mr Bailey but I'm thinking the only way to fix Sony is fire every single manager between Stringer and the low-level staff. And maybe not even then...
They are simply fighting too many wars--external *and* internal--against too many opponents and losing all of them.
And, ultimately, both Stringer and Bailey are gaijin...
Of course, they can't kill the product and expect not to be burned by existing customers, but an effective strategy would be not to reduce the price of the PS3 any further, stop spending on PS3 marketing and only invest in keeping new games coming to the console. That way console sales would go down (which is good for the bottom line), the loss per console goes down as well, and they can even make a profit from game licenses. It could be expected to recover over a billion by making this move, which has no practical downside, other that some egos crushed.
- by sharmajunior May 18, 2009 7:18 AM PDT
- Sony makes great products. The only thing they need is a price fixer. Their products are priced too high compared to the same product at the competition.
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