The European Union has finally approved Sony's proposal of buying out Ericsson's stake from the duo's joint venture - Sony Ericsson.
With this, Sony is now one step closer to dissolving its existing partnership with Ericsson and assuming a total control over the Sony Ericsson product line.
The Japanese tech giant had announced last year in October that it was pondering over the idea of purchasing Ericsson's shares in the joint venture for $1.47 billion, and re-branding Sony Ericsson's entire product line under its own name.
During the Consumer Electronic Show (CES) 2012, Sony unveiled a pair of forthcoming Android powered smartphones bearing its own name. The newly introduced products included the Sony Xperia Ion and Sony Xperia S.
Sony Ericsson, which happens to be one of the most dominating names in the global mobile phone market, posted a net loss of €247 million loss last quarter.
Experts are also of the opinion that Sony's decision to dissolve the joint venture with Ericsson, will definitely give the company a better opportunity to pour in more efforts for strengthening its stake in the smartphone market. And, more importantly, it will also earn the company full control over Sony Ericsson's patent portfolio.