Sir Howard Stringer, 71, says he will step down at Sony’s annual shareholder meeting and made the announcement in a speech at the Japan Society in New York. Kazuo Hirai, 52 and former head of the PlayStation unit, succeeded him as CEO almost a year ago. Stringer was put in place in June 2005 and under his watch the once great Sony has fallen behind Samsung in manufacturing and Apple in creativity. Now Hirai is trying to save the company by cutting costs and selling assets. Whether Sony’s Culver City entertainment studio will be one of those assets shed now remains a subject of much speculation especially with Stringer’s departure finalized for June. Hirai has denied speculation that Sony could sell the entertainment divisions. Stringer said he would pursue “new opportunities I’ve been presented with lately”. Stringer is also chairman of the American Film Institute. Stringer came from Sony’s entertainment arm and pointed to the company’s movie, TV and music businesses as “models of stable and innovative leadership and consistently profitable”.


A class act.
Sony, like many other companies, made the classic mistake of forgetting who they were, what they made and why they were considered an excellent company. Their problems are self inflicted, they lost a lot of customer good will, good will developed and nutured over decades, and it will take a long, long time, if ever, for it to regain it. Good luck. I use to buy their products exclusively, but gave up on them several years ago.
Kazuo Hirai is the right man for the job, and is doing the right thing in streamlining the company: shifting Sony’s focus away from low profit products such as televisions which, apart from anything else, once sold don’t really bring with them any directly attached revenue streams (maybe a one off purchase of a blu ray player and dvd and blu ray movies); listening to games developers (as Sony did with PSone) for feedback on the specifications for the PS4, with the intention that PS4 dominate the games market just as PSone and PS2 did. Personally, I love Sony’s products. The quality is amazing, and though they usually occupy the middle ground in terms of pricing, neither the cheapest nor the most expensive, its pretty much guaranteed the quality of the product will always impress.
Sir Stringer, I bid you well as go into that good night.