Sign In
Register
Help
If nothing happens, Sony Ericsson's headquarters will soon be invaded by angry Sony Ericsson fans
Sony Ericsson today announced its Q2 financial results. During the second quarter of 2008 Sony Ericsson achieved break-even results, and once again declared that the market is “proving challenging”. This has to be the third time they’ve come up with those ground-breaking statements. I’m guessing that’s what their “continued R&D investments” have been used it, as it most certainly wasn’t used for researching and developing anything phone related.
Another ‘highlight’ in Sony Ericsson’s press release about the Q2 financial results is the announcement of Symbian Foundation. To me it seems like this was only added because there was nothing just slightly exciting left for the PR crew to add.
So, let’s get to the results. They’re bad – really bad.
- During the second quarter of the year, Sony Ericsson just managed to ship a total of 24.4 million units; that’s lower than the total amount of shipped units in Q2 2007. YoY change: -2.05 %
- The sales brought in a total of 2,820 million Euro. Once again, significantly lower than last year’s sales. YoY change: -10.35 %
- The gross margin fell from 29.2 % in Q1 to 23.1 % in Q2. YoY change: -28.14 %
- The operating income has turned negative, and is now at -2 million Euro. YoY change: – 100.63 %
- The net income is now down to 6 Million Euro. YoY change: -97.28 %
Isn’t that just pathetic? Sony Ericsson yet again blames the market for being challenging – did I say that before (?) – and once again don’t think the mid/high-end markets are the ones to go for. Once again, my guess is that they are looking at their own facts and numbers, and found out their mid/high-end devices are simply not popular. I wonder why…
I guess faithful Sony Ericsson owners can start getting acquainted to getting larger and larger amounts of low-end phones.
- We are aligning our operations and resources worldwide to meet an increasingly competitive business environment and to help restore our capability for profitable growth. The measures we are taking are aimed at becoming a faster, more agile and more cost efficient organisation that can continue to create innovative products that excite consumers, says Hideki Komiyama, Sony Ericsson’s President in the press release.
- Our target is to achieve a reduction in operating expenses of Euro 300 million annually, with the full effect expected to appear within a year. We estimate that our restructuring charges will be of the same magnitude as our reduction in operating expenses, and we will incur such charges as our measures are implemented, he continues.
What he fails to mention is that this will mean up to 2,000 Sony Ericsson employees will get sacked. Such a pity.
I sincerely hope this is the kick in the behind Sony Ericsson needs to rise again. If not, then I don’t have any plans of staying with this company.
You can read the full joke over here.
I think Q2 financial results is still the effect/result of their new strategy. Only small number of products (w350, w760, w890, z770 and z555) were release in Q2 and even some of it are not yet available in other countries (like w760 and z770) . We should wait for the results of Q3 where they release some ‘bit’ high end great phones (c902, c702, g900, g700, w980). But PLEASE SE, don’t blame us or market your low Q2 results.
I think Q2 financial results is still the effect/result of their new strategy. Only small number of products (w350, w760, w890, z770 and z555) were release in Q2 and even some of it are not yet available in other countries (like w760 and z770) . We should wait for the results of Q3 where they release some ‘bit’ high end great phones (c902, c702, g900, g700, w980). But PLEASE SE, don’t blame us or market your low Q2 results.
…I cant believe what I am reading. You guys are complaining on the best manufacturer that they are releasing only low-end phones, that they doesnt have enough features, blablablablabla? What can you say about the C905? Low-end? No. Many features? Yes. High price? Not for a such good phone. 8.1 mpx will also be a world-first.
T610, K750, W810, K800 and now C905. Sony Ericsson rules.
I dont care if they release many low-end phones, as long as they release pro phones like C905.
I also want to say that Nokia sucks. I would never in my whole life buy such a piece of crap, I hope you guys wont either!
Regards,
Sony Ericsson Fanboy <3
[ENDRANT]
…I cant believe what I am reading. You guys are complaining on the best manufacturer that they are releasing only low-end phones, that they doesnt have enough features, blablablablabla? What can you say about the C905? Low-end? No. Many features? Yes. High price? Not for a such good phone. 8.1 mpx will also be a world-first.
T610, K750, W810, K800 and now C905. Sony Ericsson rules.
I dont care if they release many low-end phones, as long as they release pro phones like C905.
I also want to say that Nokia sucks. I would never in my whole life buy such a piece of crap, I hope you guys wont either!
Regards,
Sony Ericsson Fanboy <3
[ENDRANT]
Not a Nokia fanboy but i’m a Sony to Nokia user. But the Nokia Nseries has everything in a phone it’s a perfect phone it has mostly everything that you would want in a phone even though there isn’t that much support for american 3g unless you buy the specific model.
Nokia has made a multimedia phone while Sony is doing a “type” phone like walkman.. cybershot.. if they put it all into one phone aka. making it a true High-end phone I’m gussing people will want that.
Sony has a great interface, and great designs, much better than nokia its just the specs of the phone that make it dirt : (
Not a Nokia fanboy but i’m a Sony to Nokia user. But the Nokia Nseries has everything in a phone it’s a perfect phone it has mostly everything that you would want in a phone even though there isn’t that much support for american 3g unless you buy the specific model.
Nokia has made a multimedia phone while Sony is doing a “type” phone like walkman.. cybershot.. if they put it all into one phone aka. making it a true High-end phone I’m gussing people will want that.
Sony has a great interface, and great designs, much better than nokia its just the specs of the phone that make it dirt : (
yep..like i said in the previous “SE is going down” thread: i’m not surprised.
When i had the k750, i recommended SE to everyone..what a great phone..!(unfortunately my joystick died, but still).
Now with k850 and it’s shitty firmware, AND having to go through the whole BSOD thing without SE giving a damn, i’m definitely not recommending SE to anyone.
In fact, my next phone will be a nokia or HTC.
Unless their X1 and C905 do REALLY well, i think SE are NOT going to be a happy company in a long time
yep..like i said in the previous “SE is going down” thread: i’m not surprised.
When i had the k750, i recommended SE to everyone..what a great phone..!(unfortunately my joystick died, but still).
Now with k850 and it’s shitty firmware, AND having to go through the whole BSOD thing without SE giving a damn, i’m definitely not recommending SE to anyone.
In fact, my next phone will be a nokia or HTC.
Unless their X1 and C905 do REALLY well, i think SE are NOT going to be a happy company in a long time
Well Michell you’ve certainly come a long way since the days you said you were tired of the whole P990/smartphone debacle…..;-)
It stands to reason that when a company’s flagship product(s) are below standard, that the malaise will spread to the rest of the product line.
As it has.
SE have ignored what their customers are asking for in terms of good phones, and they’re reaping the results of that.
To quote the closing paragraph from the now-utterly-redundant Open Letter :
“SE enjoyed a large and loyal client base thanks to it’s previous state-of-the-art (smart) phone offerings. Ongoing and genuine effort by SE to cultivate this relationship would be mutually beneficial”.
I can’t see them changing course anytime soon, without a radical change of mindset (as in actually opening their eyes to what is happening in the markets and the online communities.)
Otherwise there’ll be another profit warning next quarter, and the next…..
Well, good luck.
Well Michell you’ve certainly come a long way since the days you said you were tired of the whole P990/smartphone debacle…..;-)
It stands to reason that when a company’s flagship product(s) are below standard, that the malaise will spread to the rest of the product line.
As it has.
SE have ignored what their customers are asking for in terms of good phones, and they’re reaping the results of that.
To quote the closing paragraph from the now-utterly-redundant Open Letter :
“SE enjoyed a large and loyal client base thanks to it’s previous state-of-the-art (smart) phone offerings. Ongoing and genuine effort by SE to cultivate this relationship would be mutually beneficial”.
I can’t see them changing course anytime soon, without a radical change of mindset (as in actually opening their eyes to what is happening in the markets and the online communities.)
Otherwise there’ll be another profit warning next quarter, and the next…..
Well, good luck.
i hope SE is reading this…
i hope SE is reading this…
It makes no difference whether or not they are reading this.
Posts like ours have been aired online for the past year or so in forums which we are assured SE reps ‘read’.
The only thing SE listens to is their bottom line – in this case their dwindling profit margin.
Sadly they mess that up as well by drawing the wrong conclusions from it….like blaming their dwindling profits on everyone but themselves.
Just in case someone from SE with a brain between his ears is reading this…the market for high end phones is thriving, actually….it’s just that nobody wants to buy YOUR ‘high-end’ offerings.
It makes no difference whether or not they are reading this.
Posts like ours have been aired online for the past year or so in forums which we are assured SE reps ‘read’.
The only thing SE listens to is their bottom line – in this case their dwindling profit margin.
Sadly they mess that up as well by drawing the wrong conclusions from it….like blaming their dwindling profits on everyone but themselves.
Just in case someone from SE with a brain between his ears is reading this…the market for high end phones is thriving, actually….it’s just that nobody wants to buy YOUR ‘high-end’ offerings.
So I heard Sony wants profit to die so Ericsson will disappear and the brand will just be called Sony!!!
So I heard Sony wants profit to die so Ericsson will disappear and the brand will just be called Sony!!!
aqualung15 says: Just in case someone from SE with a brain between his ears is reading this…the market for high end phones is thriving, actually….it’s just that nobody wants to buy YOUR ‘high-end’ offerings.
More true words have not been said. As Ive said I love SE but they really need to get their act together. Its not going to save them if they decide to make nothing but low end offerings. They need to up the ante across the board
aqualung15 says: Just in case someone from SE with a brain between his ears is reading this…the market for high end phones is thriving, actually….it’s just that nobody wants to buy YOUR ‘high-end’ offerings.
More true words have not been said. As Ive said I love SE but they really need to get their act together. Its not going to save them if they decide to make nothing but low end offerings. They need to up the ante across the board
I used their phones when they innovated (P800 and P910) but today everybody is innovating and improving their phones!
SE would be lucky if survive in this cruel world of new ideas (HTC) and quality (Nokia)!
I told this terrible trues but some people ask me after that what I am doing in this forums!
In one year this company will melt down like it raised from very suspicious firms (Ericsson and Sony in the phone business in London w/o serious factory, do not tell me)
In their wish to grab lot of money in quick time they forgot that this apparatus is in first communication device and for that reason it must satisfy two main facts: very handy communications and ultra mechanical and el. reliability. In both they failed!
Good bye SE!
I used their phones when they innovated (P800 and P910) but today everybody is innovating and improving their phones!
SE would be lucky if survive in this cruel world of new ideas (HTC) and quality (Nokia)!
I told this terrible trues but some people ask me after that what I am doing in this forums!
In one year this company will melt down like it raised from very suspicious firms (Ericsson and Sony in the phone business in London w/o serious factory, do not tell me)
In their wish to grab lot of money in quick time they forgot that this apparatus is in first communication device and for that reason it must satisfy two main facts: very handy communications and ultra mechanical and el. reliability. In both they failed!
Good bye SE!
Is it really True? that it will be a “Goodbye SE” and “Hello Sony” ? So this means, we will now be getting THE REAL DEAL from Cybershot, Walkman, Bravia, Handycam Brands. I would love to see the real power of the brands be ported to phones. Sweet Deal =D
Is it really True? that it will be a “Goodbye SE” and “Hello Sony” ? So this means, we will now be getting THE REAL DEAL from Cybershot, Walkman, Bravia, Handycam Brands. I would love to see the real power of the brands be ported to phones. Sweet Deal =D
GOOD LUCK SE
GOOD LUCK SE
Those results are crap, what have happened after the ground breaking innovations 3/4yers ago? seems like i’m going to end up a prodigal son to my originally prefered brand
Those results are crap, what have happened after the ground breaking innovations 3/4yers ago? seems like i’m going to end up a prodigal son to my originally prefered brand
sony wants to dissolve sony ericsson? Hmmm… Anyhow, since sony can come up with handsets that has bravia technology behind it, i’ll be willing to hold an axe to split them up. Now’s the time!
sony wants to dissolve sony ericsson? Hmmm… Anyhow, since sony can come up with handsets that has bravia technology behind it, i’ll be willing to hold an axe to split them up. Now’s the time!
I’m a SE fan since t310. I still own W800 and am very satisfied with it (upgraded, expanded and still perfectly working). I haven’t bought anything new cos the subsequent models weren’t much of a revolution. In fact W800 has nice design, excellent battery life, sound quality, good camera and still some top-notch specs (not bad for a 3 yo phone..). For instance I think w980 as a sleek design, but camera is just disappointing. And so do many other models. That’s what keep consumers from buying new models. We don’t really feel the need to throw away money for partial improvements.
It’s just a shame that because of dumb managers’ shitty strategies thousand of people will lose their jobs (…neither do we get a decent model).
Disappointment can be felt all around and it’s sad to read such a statement from the owner of this wonderful blog (way to go-dont’ give us up).
Let’s cross fingers…
I’m a SE fan since t310. I still own W800 and am very satisfied with it (upgraded, expanded and still perfectly working). I haven’t bought anything new cos the subsequent models weren’t much of a revolution. In fact W800 has nice design, excellent battery life, sound quality, good camera and still some top-notch specs (not bad for a 3 yo phone..). For instance I think w980 as a sleek design, but camera is just disappointing. And so do many other models. That’s what keep consumers from buying new models. We don’t really feel the need to throw away money for partial improvements.
It’s just a shame that because of dumb managers’ shitty strategies thousand of people will lose their jobs (…neither do we get a decent model).
Disappointment can be felt all around and it’s sad to read such a statement from the owner of this wonderful blog (way to go-dont’ give us up).
Let’s cross fingers…
now that i think of it… a sony phone wouldnt be so bad…
My speculation is that, this is whats happening now:
Sony ericsson communications JAPAN = SONY (releases phones in Japan)
Sony ericsson communications AB = ERICSSON (releases phones for the rest of us..)
Since sony had already solved the telecommunication problems that they had before. Through the venture. Maybe, just maybe, they are trying to do this:
Sony communications international = SONY (sans ericsson)
This should explain the rumors that the PSP phone is going to be produced by sony alone
now that i think of it… a sony phone wouldnt be so bad…
My speculation is that, this is whats happening now:
Sony ericsson communications JAPAN = SONY (releases phones in Japan)
Sony ericsson communications AB = ERICSSON (releases phones for the rest of us..)
Since sony had already solved the telecommunication problems that they had before. Through the venture. Maybe, just maybe, they are trying to do this:
Sony communications international = SONY (sans ericsson)
This should explain the rumors that the PSP phone is going to be produced by sony alone
Is it common knowledge among the English-speaking world that SE Japan is now only supplying NTT Docomo? It feels like they shrunk their ops cause they didn’t have the chops to compete with people like Fujitsu and NEC and even panasonic, which are all very aggressive with putting new features into their handsets.
I wouldn’t have thought SE Japan is the one to look to at all at this moment…
Is it common knowledge among the English-speaking world that SE Japan is now only supplying NTT Docomo? It feels like they shrunk their ops cause they didn’t have the chops to compete with people like Fujitsu and NEC and even panasonic, which are all very aggressive with putting new features into their handsets.
I wouldn’t have thought SE Japan is the one to look to at all at this moment…
come what may…i still trust sony ericsson
come what may…i still trust sony ericsson
I still remember the day when Sony ended their Clie line of Palm PDAs, when they were the best developer for Palm. When the numbers don’t add up for Sony, they would chop off a product line just like that.
This is not a matter of trust anymore; if they can’t produce something worthwhile, I can very easily switch to something better.
I still remember the day when Sony ended their Clie line of Palm PDAs, when they were the best developer for Palm. When the numbers don’t add up for Sony, they would chop off a product line just like that.
This is not a matter of trust anymore; if they can’t produce something worthwhile, I can very easily switch to something better.
Regarding their portfolio, I don’t really care whether they announce hundreds of low-ends as long as they announce them with just a few high-ends like X1 and C905. And maybe they learned that Walkman branded phones should have a good camera as well and they’ll start to sell phones like W902, which I really like by the way. I wish SE all the best and Q3 results are possibly going to be much much better, C902 is becoming quite popular…
Regarding their portfolio, I don’t really care whether they announce hundreds of low-ends as long as they announce them with just a few high-ends like X1 and C905. And maybe they learned that Walkman branded phones should have a good camera as well and they’ll start to sell phones like W902, which I really like by the way. I wish SE all the best and Q3 results are possibly going to be much much better, C902 is becoming quite popular…
Hi,
I was just reading the post and I have to confess something… I was a SE fan for long years, started with a T610 and finished with a w900i, really a great phone when it was lauched. I was expecting for long SE to release new high end phones with some exclusive features. But I was tired of wainting and saw all my friends switching to other brands. And, last July… I bought a iPhone 3G… Couldn’t wait anymore for the X1 to be released (at which price ???) or the delayed Paris. I hope I will one day come back to SE but it’s such a mess in their product line that I have a lot of doubts.
Hi,
I was just reading the post and I have to confess something… I was a SE fan for long years, started with a T610 and finished with a w900i, really a great phone when it was lauched. I was expecting for long SE to release new high end phones with some exclusive features. But I was tired of wainting and saw all my friends switching to other brands. And, last July… I bought a iPhone 3G… Couldn’t wait anymore for the X1 to be released (at which price ???) or the delayed Paris. I hope I will one day come back to SE but it’s such a mess in their product line that I have a lot of doubts.