Sony's shares have dropped to a 32 year low after an earnings report saw the long time Japanese electronics firm confess to a $5.7 billion annual loss.
Despite this terrible downturn in the past 12 months, Sony believes it can turn things around - with new CEO of the firm, Kazuo Hirai promising to take certain divisions in hand and help make them profitable once again. If anyone at Sony could do it it's him, since he's been responsible for the growth and sustained profitability of the Sony Entertainment division for years.
He plans to reduce losses in the TV business by revamping the Bravia brand, as well as projecting strong sales of the PS Vita handheld. Sony has said it hopes to sell some 10 million units of the console in the next year.
Sales might be strong for the little device in Japan, but elsewhere in the world the PSP is still outselling the new handheld. To generate big sales numbers, Sony will need to do something pretty special.
As well as combatting its previous generation console and competition from Nintendo's 3DS, Sony will also be up against the growing trend of mobile gaming, something that could quite easily overtake dedicated handheld gaming devices in the next year or so.
As it stands, Sony's shares haven't been this low since 1980. However that was the year it launched its famous Sony Walkman, so perhaps 2012 will see a similar phoenix rise to return the company to profitability.