Skip to main content

Sony Seeking Ericsson Buyout for Product Unification

Sony is about to enter into a deal to buy Telefon’s AB LM Ericsson with which Sony already has their smartphone joint venture. This will lead to complete ownership of Ericsson by Sony Corp.

On this deal, The Wall Street Journal reported that it is a step that will help them to catch up with the market rivals by unification of the mobile products under a single brand name. This will provide them with a firm ground to raise fight against its rivals like the Apple Inc and Samsung Electronics. Earlier they were hampered by their disparate structure of its products and the online content offerings.

Currently, Sony is offering Tablets, gaming devices and other consumer electronics under the brand name of Sony and smartphones are offered under the brand name of Sony Ericsson.

Two industry sources revealed to Reuters that by now Sony and Ericsson are engaged in a talk for weeks regarding the future of the 50:50 joint venture as the company must make a decision this month regarding the renewal of the 10 years old pact.

An analyst at the J.P. Morgan in Tokyo, Yoshiharu Izumi said about this prospect that, "Up to now Sony’s products and network services have all been separate. Unifying them would be positive."