| Sony Ericsson Mobile Communications AB | |
|---|---|
| Type | Joint venture |
| Founded | October 3, 2001 |
| Headquarters | Head Office: Incorporated: |
| Key people | Hideki Komiyama (President) Anders Runevad (EVP) |
| Industry | Telecommunications |
| Products | Mobile phones Mobile music devices Wireless systems Wireless voice devices Hi-Tech accessories Wireless data devices |
| Revenue | €10,959 million (2006) |
| Net income | €997 million (2006) |
| Employees | ~8,000 |
| Parent | Sony Corporation (50%) Ericsson AB (50%) |
| Website | www.sonyericsson.com |
Sony Ericsson is a joint venture established in 2001 by the Japanese consumer electronics company Sony Corporation and the Swedish telecommunications company Ericsson to make mobile phones. The stated reason for this venture is to combine Sony's consumer electronics expertise with Ericsson's technological leadership in the communications sector. Both companies have stopped making their own mobile phones.
The company's global management is based in Hammersmith, London, and it has research & development teams in Sweden, Japan, China, Germany, the United States, India, Pakistan and the United Kingdom.
While Sony Ericsson has been enjoying strong growth recently, its South Korean rival LG Electronics overtook it in Q1 2008 due to the company's profits crashing significantly by 43% to €133 million, sales falling by 8% and market share dropping from 9.4% to 7.9%, despite favourable conditions that the handset market is expected to grow by 10% in 2008. The situation is getting worse as Sony Ericsson announced another profit warning in June 2008[1] and saw net profit crash by 97% in Q2 2008, announcing that it would cut 2,000 jobs, leading to wide fear that Sony Ericsson is on the verge of decline along with its struggling rival, Motorola.[2]
Sony Ericsson has, as of July 18, 2008, approximately 9,400 employees and 2,500 contractors worldwide. The company's current President is as of November 1 Hideki Komiyama (小宮山英樹), who has replaced Miles Flint, and the Corporate Executive Vice President is Anders Runevad.
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Ericsson, which had been in the cellular phone market for decades, decided to divest this business in 2001 following huge losses. Ericsson had decided to source on chips for its phones from a single source, a Philips facility in New Mexico. In March 2000 a fire at the Philips factory contaminated the sterile facility. Philips assured Ericsson and Nokia (the other major customer of the facility) that production would be delayed by less than a week. When it became clear that production would actually be compromised for months, Ericsson was faced with a serious shortage. Nokia had already begun to obtain parts from alternative sources, but Ericsson's position was much worse as both production of current models and the launch of new ones was held up.[3]
In the United States, Ericsson partnered with General Electric in the early nineties, primarily to establish a US presence and brand recognition.
Sony Ericsson is the global title sponsor of the Women's Tennis Association (WTA), and works with the Association to promote the Tour in over 80 cities.
Sony Ericsson acquired UIQ Technology, a Swedish software company from Symbian Ltd. in February 2007. UIQ will remain an independent company, Miles Flint announced.[citation needed]
On October 15, 2007, Sony Ericsson announced on Symbian Smartphone Show that they will be selling half of its UIQ share to Motorola thus making UIQ technology owned by two large mobile phone companies.
Sony Ericsson currently concentrates on the categories of: music, camera, business (web and email), design, all-rounder, and budget focused phones. Its four largest categories are:
| Series | Branding | Description | Origin |
|---|---|---|---|
| C | Cyber-shot | Camera focused phones. | Cyber-shot |
| D | T-Mobile | T-mobile network exclusive phones. | Deutsche Telekom |
| F | Vodafone (partial) | Vodafone network exclusive phones; Gaming focused phones | Vodafone / Fun |
| G | - | Compact Touchscreen series. | Generation Web |
| J | - | Low-end series | Junior |
| K | Cyber-shot (partial) | All-around phones | Kamera (Swedish for "camera") |
| M | - | Business focused smartphones. | Messaging |
| P | - | Powerhouse smartphones. | PDA |
| R | - | Phones with built-in AM/FM radio | Radio |
| S | - | Fashion and camera focused phones. | Swivel, 'S'lider, 'S'napshot |
| T | - | All-around phones | Tala (Swedish for "talk") |
| V | Vodafone | Vodafone network exclusive phones. | Vodafone |
| W | Walkman | Music-focused phones. | Walkman |
| X | Xperia | Convergence and powerhouse devices. | Xperia |
| Z | - | Design-oriented phones | Ze Bobber (Origin unknown) |
After the 2008 Mobile World Congress, Sony Ericsson announced their new naming system comprising of four characters, each character denoting the "Series", the "Range/Class", the "Version" and the "Form Factor" respectively.
| Series | Range/Class | Version | Form Factor |
| (see above for series letters) | 1-4: Low-end 5-7: Mid-range 8-9: High-end |
(in numerical order of succession) | 0-2: Candybar 3-5: Slider 6-8: Clamshell 9: Others |
"a" and "c" suffixes are used to denote models specifically for American and Chinese markets, respectively [4]
Sony Ericsson has used three methods in the past of naming their mobile products:
Another peculiar naming format was the one used in naming the Z1010; this format has not been used since the Z1010.
Furthermore, Sony Ericsson always give their phones codenames when developing. Mainly to keep the information secret and to prevent leaks. All codenames are girl names, and some have been taken from the female players of the Sony Ericsson-sponsored tennis tournament, WTA. A complete list of codenames can be found here.
Sony Ericsson posted its first profit in the second half of 2003. Since then, the sales figures from phones have been:
Also, Sony Ericsson sold 60 m music enabled phones in 2006, including 17 m Walkman devices, underlining how its products are more popular than Apple's iPod. Apple sold 46 m iPods in 2006. According to the Swedish Magazine M3s issue 7/2006 Sony Ericsson is the best-selling phone brand in the Nordic countries, followed by Nokia.
According to the IT research firm Gartner, in the third quarter of 2006, Sony Ericsson was the fourth largest mobile phone manufacturer in the world after Nokia, Motorola and Samsung. It held a 9% global market share.
During the E3 Media and Business Summit, Feras Jad, Saudi Telecom representative showcased a Sony Ericsson phone using the PlayStation's XMB. A select group of phones are also said to integrate into PlayStation Home (final product)
During the announcement of Sony Ericsson K850, W960 and W910. Some review sites have shown that those mentioned phones sport a new media manager to replace the standard Sony Ericsson File Manager which possesses a UI that resembles the XMB interface found on Sony PS3 and PSP products. The mobile developer site confirmed from their spec sheets and white papers that the XMB media manager is standard to the phones running Java Platform 8 also known as A200 Platform.
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