Sony Sells Another Building For $1.2B

H

HardOCP News

[H] News
Joined
Dec 31, 1969
Messages
0
Can't turn a profit on your products? Laying off employees and selling billion dollar buildings seems to be helping Sony out these days.

Sony stated the sale was part of the company's reorganization of assets to "strengthen its corporate structure." Then again, the ¥41 billion (around $4.4 billion) raised in operating income by the sale and how it'll help Sony turn an operating profit this fiscal year helps too. The company wants to bring an end to four successive years of losses, including last fiscal year's loss of around $820 million, not to mention the humiliation of Fitch Ratings cutting the company's credit rating to junk status.
Click to expand...
 
I don't understand how these companies are in loss, sony products are after samsung and LG virtually everywhere - phones, cameras, TVs, laptops, consoles etc I don't know wtf is going on these days where even the biggest companies report loss in hundreds of millions.
 
Yeah that's it, sell building! To Hell with customer service and quality products. :rolleyes:
 
Knowing sony, they probably blame their losses on pirating music, movies, and games. They completely ignore the fact they have shit for management.
 
Acer_Sheep said:
I don't understand how these companies are in loss, sony products are after samsung and LG virtually everywhere - phones, cameras, TVs, laptops, consoles etc I don't know wtf is going on these days where even the biggest companies report loss in hundreds of millions.
Click to expand...

Sony is Japanese, not Korean. Their operating and R&D costs are much higher.
Korean companies like to steal Japanese tech and then have Chinese make them.
 
How to start selling?

Here's how you sell the Vita, allow homebrew on it, but keep it locked for official games.

Sell your TV's for realistic prices

Stop abusing your customers.
 
Acoustique said:
Now they can say they made at least 1.2billion and the CEO can get a nice bonus :p
Click to expand...

Pff, that's not how bonuses work for CEOs =D. Unless they have a sense of morality or decently and turn down their bonuses, they seem to get bonuses even if the company does terrible :)
 
WBurchnall said:
Pff, that's not how bonuses work for CEOs =D. Unless they have a sense of morality or decently and turn down their bonuses, they seem to get bonuses even if the company does terrible :)
Click to expand...

That's what Hostess did

They refinanced, CEO's gave themselves bonuses

Refinanced again, CEO's gave themselves bonuses

Cut spending on employee's to "Save money", CEO's gave themselves bonuses

Employee's finally strike cause they keep getting fucked over, and over, and over, Hostess closes down its factories and blames the workers, CEO's walk away rich millionaires.

This is standard operating procedure these days, fuck the company, fuck the employee's, line their own fucking pockets.

And you wonder why the economy is so bad.
 
Hofy said:
Yeah that's it, sell building! To Hell with customer service and quality products. :rolleyes:
Click to expand...
Well, maybe with all these building sales, they can put that money towards those very lacking issues. But I doubt it. Sony is a terrible company IMHO and I would be surprised if they did. I do like the idea of consolidating assets though. Conversely, it almost seems like Sony is gearing up for something.

Dawill said:
Knowing sony, they probably blame their losses on pirating music, movies, and games. They completely ignore the fact they have shit for management.
Click to expand...

I could've sworn they've been axing a lot of management types as well over the past year or so.
 
"...Sony City Osaki building for ¥111 billion (around $1.2 billion). ...."

and then

"...Then again, the ¥41 billion (around $4.4 billion) raised in operating income by the sale and ... "

Does not compute.
 
Sony is finally feeling the effects of my personal boycott after they so crappily manufactured my cd Walkman. Take that Sony!
 
Whenever a company sells everything but the kitchen sink you know there are problems.
Sony's corporate structure does not allow it to be nimble. It also ignored consumers, tried to put DRM everywhere and paying the price.
 
They are just refocusing on what works and thankfully one of those things is Playstation, they seem to be much more serious this time about making developers and customers happy.
 
Jesus, Sony might as well call it and break up into bits and be sold off. If the PS4 is any bit less a success then the PS3 then Sony is done for.
 
Monkey God said:
Sony is Japanese, not Korean. Their operating and R&D costs are much higher.
Korean companies like to steal Japanese tech and then have Chinese make them.
Click to expand...

In reality, both Samsung, Sony and just about every major manufacturer of TVs are losing their shirt right now. Samsung even spun off it's LCD business last year to stop the losses. And they both predominantly make their sets in China now.

The biggest issue that's happening to everyone in the industry is that they cant compete with the hundreds of Chinese manufactures that are out on price. If you ask the average consumer would they pay $600 for a 50 inch Sony or $300 for a Hisense most are going to go for the Hisense.
 
next-Jin said:
They are just refocusing on what works and thankfully one of those things is Playstation.
Click to expand...

????

The only thing that is making Sony money right now is Spider-Man. And unless the company is going to sell the PS4 at cost, they are looking at another huge round of losses on every console it sells.

The company is in serious trouble and they need to figure something out beside selling buildings.
 
ShamisOMally said:
Sell your TV's for realistic prices
.
Click to expand...

imho, they are technically realistic prices. They are selling it at a profit versus samsung and the lower quality TV panel manufacturers who sell it at a loss. No one in the TV industry is making money cause they decided to race to the bottom
 
ShamisOMally said:
How to start selling?

Here's how you sell the Vita, allow homebrew on it, but keep it locked for official games.

Sell your TV's for realistic prices

Stop abusing your customers.
Click to expand...

Wait so, you mean like the PS3?

It had homebrew, what did people use it for...not much. Then people decided to use it to try and play "backups" (aka pirated games, sorry, but that's what it does mean. :p) and it got taken away. All people do with "open systems" is use them to play MKV (pirated content, seriously, it is, I couldn't care less if people pirate stuff, but you don't see people having their streaming servers full of MKVs. :D) and unlicensed (pirated) games.

I don't know but releasing it as the PirateStation, might be fine for other things, but for a big Corporation it doesn't really go down well, and doesn't lead to big sales of games (like with the PSP) and doesn't really show the 3rd party developers how profitable things are. It would also run them into trouble with pretty much everybody, Megaupload style. :p
 
ShamisOMally said:
That's what Hostess did

They refinanced, CEO's gave themselves bonuses

Refinanced again, CEO's gave themselves bonuses

Cut spending on employee's to "Save money", CEO's gave themselves bonuses

Employee's finally strike cause they keep getting fucked over, and over, and over, Hostess closes down its factories and blames the workers, CEO's walk away rich millionaires.

This is standard operating procedure these days, fuck the company, fuck the employee's, line their own fucking pockets.

And you wonder why the economy is so bad.
Click to expand...

That's not exactly how it happened. Both the unions and the bosses get blamed for this failure. The company was riddled with debt and that along with falling sales and high union wages and benefits were what killed it. There are more than 1 unions representing their employees and only 1 voted to strike and not take the cuts. The other one did. As for the golden parachutes, the private equity firm that invested in Hostess took a bath due to the monumental debt.

Hostess is a failure of CEO's and unions. I don't think anybody walked away a winner in that situation.
 
Skillz said:
"...Sony City Osaki building for ¥111 billion (around $1.2 billion). ...."

and then

"...Then again, the ¥41 billion (around $4.4 billion) raised in operating income by the sale and ... "

Does not compute.
Click to expand...




It is 11.1 billion yens, 1.2 billion dollars.

41 billion yens would be 4.43 billion dollars.
 
Ryokurin said:
The biggest issue that's happening to everyone in the industry is that they cant compete with the hundreds of Chinese manufactures that are out on price. If you ask the average consumer would they pay $600 for a 50 inch Sony or $300 for a Hisense most are going to go for the Hisense.
Click to expand...

It's funny because they both probably rolled out of the same factory.
 
How times have changed.

I once had a sony integrated a/v amp - it was the best thing since sliced bread - the heart of my a/v rack. I loved it so much that when I blew the right channel rocking it to it's max all day, I had it repaired rather than buy something else. I used it for close to 15 years before I killed it.

You couldn't pay me to buy sony now.
 
Steve said:
????

The only thing that is making Sony money right now is Spider-Man. And unless the company is going to sell the PS4 at cost, they are looking at another huge round of losses on every console it sells.

The company is in serious trouble and they need to figure something out beside selling buildings.
Click to expand...

Historical prospective Steve, they fucked up on PS3.
 
Hopefully they're just cutting the fat so to speak and will get leaner. Whether you like Sony or not, without them there'd be less competition and competition is always good.
 
next-Jin said:
Historical prospective Steve, they fucked up on PS3.
Click to expand...

I wonder if they actually did at the end of the day. I know they lost their asses at first because they were selling them nearly at cost but after a while didn't they start getting in the green? The PS3 has been around forever and they've just been collecting on royalties or license fees on the games or however that works. So I thought that in the long term, they were making a good bit of money on them.
 
DeathPrincess said:
Wait so, you mean like the PS3?

It had homebrew, what did people use it for...not much. Then people decided to use it to try and play "backups" (aka pirated games, sorry, but that's what it does mean. :p) and it got taken away. All people do with "open systems" is use them to play MKV (pirated content, seriously, it is, I couldn't care less if people pirate stuff, but you don't see people having their streaming servers full of MKVs. :D) and unlicensed (pirated) games.

I don't know but releasing it as the PirateStation, might be fine for other things, but for a big Corporation it doesn't really go down well, and doesn't lead to big sales of games (like with the PSP) and doesn't really show the 3rd party developers how profitable things are. It would also run them into trouble with pretty much everybody, Megaupload style. :p
Click to expand...

PSP having homebrew increased sales by an incredible amount
 
MacLeod said:
That's not exactly how it happened. Both the unions and the bosses get blamed for this failure. The company was riddled with debt and that along with falling sales and high union wages and benefits were what killed it. There are more than 1 unions representing their employees and only 1 voted to strike and not take the cuts. The other one did. As for the golden parachutes, the private equity firm that invested in Hostess took a bath due to the monumental debt.

Hostess is a failure of CEO's and unions. I don't think anybody walked away a winner in that situation.
Click to expand...

Employee's had already taken two cuts previously, and were being asked to take a third cut when they striked

CEO's gave themselves fat bonuses every time, the bonuses every time was almost equal to the money "Saved" by cutting the employee's wages/benefits

CEO's are to blame entirely for this one, there is no sugar coating it.
 
ShamisOMally said:
Employee's had already taken two cuts previously, and were being asked to take a third cut when they striked

CEO's gave themselves fat bonuses every time, the bonuses every time was almost equal to the money "Saved" by cutting the employee's wages/benefits

CEO's are to blame entirely for this one, there is no sugar coating it.
Click to expand...

How many CEOs do you think Hostess has? Do you mean executives, or members of the executive board, perhaps? Or just upper management?

Also, it's my understanding that the last round of bonuses had been their attempt to cheat the system and to qualify for government programs by reducing their "operating budget". Not to mention that bonuses are tax deductible....
 
Gweenz said:
Sony is finally feeling the effects of my personal boycott after they so crappily manufactured my cd Walkman. Take that Sony!
Click to expand...

I have a similar boycott in my house, except it was caused by PS2s that stopped working 6 months after buying them. We even had one of the newer model PS2s and it still crapped out on us.

If the current model PS3 or PS4 played PS2 games, then we might consider one of them. As it stands, the only games we want to play are the PS2 games we already have, and the PS2 can barely play those.
 
ShamisOMally said:
That's what Hostess did

They refinanced, CEO's gave themselves bonuses

Refinanced again, CEO's gave themselves bonuses

Cut spending on employee's to "Save money", CEO's gave themselves bonuses

Employee's finally strike cause they keep getting fucked over, and over, and over, Hostess closes down its factories and blames the workers, CEO's walk away rich millionaires.

This is standard operating procedure these days, fuck the company, fuck the employee's, line their own fucking pockets.

And you wonder why the economy is so bad.
Click to expand...
I don't know if any of that is true, but...


  • There is only one CEO. CEO = Chief Executive Officer
  • Few executives want to be out of a job. They make more money doing it. Makes no sense for them to drive the company into the ground. There must be other reasons at work.
  • Hostess was driven into the ground by the labor unions, who would not budge on anything. Their contract was so absurd, they needed separate people to take the food off the trucks! It was designed to create unnecessary work so the unions could employ all of their family. That's a great way to kill a business. Go look into it...
  • Fact: Costs of all of the executives salaries are nothing compared to the total payroll costs of all of the employees. Payroll costs are generally the biggest expense a company has to deal with. If workers are too greedy, the company can fail to make a profit and will eventually fail.

I don't know what the deal is with Sony, but they haven't been at the top of their game in a long time. They are overpriced for TVs. Their phones lack the AMOLED screens that brought Samsung their fame. They took many years of losses on the PS3 hardware. Movies are probably one of the few places they are succeeding still.
 
sleepeeg3 said:
I don't know if any of that is true, but...


  • There is only one CEO. CEO = Chief Executive Officer
  • Few executives want to be out of a job. They make more money doing it. Makes no sense for them to drive the company into the ground. There must be other reasons at work.
  • Hostess was driven into the ground by the labor unions, who would not budge on anything. Their contract was so absurd, they needed separate people to take the food off the trucks! It was designed to create unnecessary work so the unions could employ all of their family. That's a great way to kill a business. Go look into it...
  • Fact: Costs of all of the executives salaries are nothing compared to the total payroll costs of all of the employees. Payroll costs are generally the biggest expense a company has to deal with. If workers are too greedy, the company can fail to make a profit and will eventually fail.

I don't know what the deal is with Sony, but they haven't been at the top of their game in a long time. They are overpriced for TVs. Their phones lack the AMOLED screens that brought Samsung their fame. They took many years of losses on the PS3 hardware. Movies are probably one of the few places they are succeeding still.
Click to expand...

Executives and managers actually do run businesses into the ground all the time. That's because they can make a lot more money a lot faster by taking huge bonuses and declaring bankruptcy (where their wages and bonuses are protected), pumping up stock prices and selling them as fast as possible (called "pump and dump"), or by signing off ownership of most of the company's property to hedge fund companies, declaring bankruptcy with no assets for the creditors to take possession of, and selling the actual assets off through the hedge fund manager.

And these are just the ways that executives do this that I can think of right now.
 
ballistic90 said:
Executives and managers actually do run businesses into the ground all the time. That's because they can make a lot more money a lot faster by taking huge bonuses and declaring bankruptcy (where their wages and bonuses are protected), pumping up stock prices and selling them as fast as possible (called "pump and dump"), or by signing off ownership of most of the company's property to hedge fund companies, declaring bankruptcy with no assets for the creditors to take possession of, and selling the actual assets off through the hedge fund manager.

And these are just the ways that executives do this that I can think of right now.
Click to expand...

Oh, and I forgot to mention that most executive board members have more than one job anyways. It's not like they'd be "Out of a job" if a particular business goes under.
 
Acer_Sheep said:
I don't understand how these companies are in loss, .
Click to expand...
Creative book keeping. It finally came out back in the nineties; insurance companies in new jersey had claimed for decades that they were losing money in the automotive insurance business, but would never show their numbers. Eventually, the state got to look at their books, and...... lo and behold, they were lying. Seems to the corporate bigwigs, they expect to make a certain amount of money on their 'investments' (your insurance policies). So if they expect to make 20%, and only make 19%, to them, that means that they are 'losing money'. Using that simple concept, if Sony expects to make 50% profit, and only makes 49%, then they can claim that they are 'losing money'. That's how the top 1% thinks.

It's all a numbers game, where everybody lies. Everybody.
 
You must log in or register to reply here.
Back
Top