Boston, MA 02/06/2014 (wallstreetpr) – Japanese tech giant, Sony Corporation (ADR) (NYSE:SNE) has confirmed persistent rumours that it was all set to exit the shrinking personal computer business. The $16 billion market capped tech major which introduced such iconic tech products like the Sony Walkman has decided to sell its ailing computer division (primarily manufacturing desktops and laptops) along with its popular VAIO brand to a private investment firm based out of Japan.
Sony Exiting Non Core Business
It transpires that the once most sought after laptop, Sony VAIO has finally thrown in the towel, after struggling for the past two years to sustain its presence, in the ever shrinking market place of personal computers, even as smart phones, tablets and hybrid Tablet/notebook devices have taken over the computing devices market space. The sell off also indicates that maker of TV is implementing its previously voiced strategy to exit non core business and concentrate its R and D efforts in its core domain.
Concentrating On TV
The Japanese firm has also indicated that it is working through a re org of its bread and butter TV business. It has trained its guns on manufacturing high end, internet enabled smart TV which caters to the high margins and low volumes market across the globe. Sony Corporation (ADR) (NYSE:SNE) is the market leader in the 4K TV market space into which new age companies like Google and Sony old biter noir Apple are keen to enter.
Apple Fills The Void
Sony Corporation (ADR) (NYSE:SNE) in the recent years has been ploughing in resources to gain a bigger market share in the smart phone and tablet space. It will find it very difficult to win back its customers as companies like Apple Inc (NASDAQ:AAPL) have gained a huge lead in terms of market share and mind space of customers in the personal computing space today.
As per a new definition of personal computing devices that is being canvassed for by Canalys, going forward PC will be clubbed with other computing devices like Tablets and smart phones since all these devices provide computing power to users. If this yard stick is employed to stack rank manufacturers, the unlikely leader amongst the pack would be Apple. With its combined laptops, iPhone and tablet sales, Apple Inc (NASDAQ:AAPL) will emerge the top manufacturer with a global 19.5 percent market share, well ahead of its competitors like Dell and HP.
