Layoffs hit Sony Ericsson
Sony Ericsson has reported an operating loss of $3.1 million in the second quarter, a huge change from Q2 last year where the company posted a profit of $500 million.
As a result, the company has announced that it will be reducing it’s workforce by roughly 2,000 people worldwide over the coming year to try and turn things around.
The slowing economy combined with strong offerings from RIM and Apple aren’t helping much.
Sony Ericsson chief Dick Komiyama says “our target is to achieve a reduction in operating expenses of 300m euros annually, with the full effect expected to appear within a year…the meausures we are taking are aimed at becoming a faster, more agile and more cost efficient organization that can continue to create innovative products that excite customers.”