Stringer sees gaming, TVs rejuvenating Sony

Sony said Thursday it aims to be profitable in gaming and flat-panel TVs by the fiscal year ending in March 2011 as it slashes costs to turn around money-losing businesses.

"Our work is already bearing fruit," Chief Executive Howard Stringer said in outlining Sony Corp.'s turnaround strategy at the electronics giant's Tokyo headquarters. "We still have more work to do."

The maker of the PlayStation game console is headed for its second straight year of losses in the fiscal year ending next March, battered by the global slowdown and sliding prices of gadgets.

Stringer said Sony has been consolidating its sprawling businesses, bringing together purchasing for parts and other supplies, for instance, which had been previously divided and less efficient.

He said the restructuring was progressing ahead of schedule, resulting in a ¥500 billion reduction in procurement costs, a 20 percent improvement from the previous fiscal year.

Job cuts were also ahead of schedule, with the head count reduced by 19,500 — or 12 percent — in the last year to 146,800 in September, Stringer said.

Sony said it will aim for a 20 percent share of the global liquid-crystal display TV market by fiscal 2012.

New products in the works include 3-D TVs, targeting sales of more than ¥1 trillion in 3-D related products by the fiscal year through March 2013, and 3-D upgrades for all PlayStation 3 game consoles, Sony said.

"We see 3-D as a pillar of our strategy," said senior Sony executive Hiroshi Yoshioka.