As we know Sony mobile division is in hot waters from the past few years and is consistently lagging behind the competition with considerable margins. Sony boosted that the firm would retain its position after every new Xperia flagship Launch for past few years, but , it did not make up to industry expectation for long. Many firms like Nokia and Siemen were devoured by this sea of Intense technological and innovative Competition. Sony, however, is still struggling to survive the market’s dynamics.

Sony is giving its mobile division a year limit to either make profits or get ready for a split.

Sony still have to work on the weaker links in this system. With the Z5 Premium, it is trying to make a comeback. The company CEO Kazuo Hirai has granted mobile division a year or so to be more profitable, before turning to some other decision:

“We will continue with the business as long as we are on track with the scenario of breaking even next year onwards, … Otherwise, we haven’t eliminated the consideration of alternative options.”

While this statement has quite a threatening which means the division might spin off like it PC’s business. Sony can also adopt Alcatel’s strategy where it focusing more on carrier and less on the end users. But this do not coincide with Sony’s current product vision. Also Hirai is still hopeful:

“I do have a feeling that a turnaround in our electronics business has shown progress. The result of three years of restructuring are starting to show, but we still need to carry out restructuring in smartphones.

Still we think a lot of things are needed to be done for Sony’s mobile business, which is currently carrying a 17.5% market share on its homeland Japan, less than 1% in the US and is making a huge operating loss for the current fiscal year.