After scaling down its full-year loss forecast, citing the weak Japanese Yen as the cause, Sony has announced plans to cut 1,100 jobs in its mobile phone business.
The company said that the new job cuts will be in addition to the previously announced 1,000 redundancies which could end up slashing around one-third of its workforce, reported Agence France-Presse(AFP).
The company is reportedly struggling with its consumer electronics business as it has lost billions due to rivalry from lower-cost brands.
However, in the company’s Q3, revenue got a boost due to improvements in PlayStation units, yet the company’s Xperia phone unit is falling behind arch rivals Apple and Samsung.
Sony is expected to lose $1.4bn in its financial year ending this March, which is more than a quarter from its earlier estimate.
AFP reported Sony CFO Kenichiro Yoshida as saying: "Our decision to withdraw from the personal computer business has had a big impact.
"The fact that management was able to decide to withdraw entirely from a business was a big deal that changed the mindset inside the company.
"The world is constantly changing and we have to continue taking measures to boost our cyber-security."