Sony hopes for digital revolution

Profits began to fall accordingly, dropping 70 percent in 1993 and another 60 percent in 1994. In a widely publicized report, Sony wrote off $3.2 billion in losses attributed to its movie operation.

Back in the black
Since then, however, Sony has started getting things under control, and its numbers were back in the black by the end of last year. The turnaround has been attributed in no small part to Idei himself, who has reorganized the company and taken back control over many of its U.S. ventures.

Now, Idei is turning his attention to the future. If he's decided what kinds of products that future will yield, the Sony president hasn't announced them; he has, though, come up with another one of those curiously awkward Japanese marketing phrases to convey his mission: the "Digital Dream Kids."

"It reflects the happy image of our future customers," he said. "I want Sony to be the kind of company which lets these future customers achieve their dreams through our products and services. I want Sony's engineers to become the Digital Dream Kids, and I myself want to be a Digital Dream Kid."

Yet if these digital kids dream of the TV and the PC becoming a single possession as ubiquitous as the Walkman, it may be some time before it's safe for them to wake up.

"TV takes the role of the fireplace in living rooms, and the PC takes the role of an appliance device," said Vic Wheatman, an analyst with the Gartner Group. "While it would be useful for the two to come together, it will be a while before it happens."

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