Sony has revealed that it expects its annual loss to increase as it struggles to keep up with the brutal competition in the smartphone market.
Full Year Loss
The company has released a forecast, claiming that it expects to losses of up to 230 billion yen ($2.15 billion), four times higher compared with a previous estimate of 50 billion yen.
Sony explains that its weakening mobile business is to blame. As a result, industry watchers expect the firm to reshape its business after years of losses.
Sony continues to implement changes in their strategies.
Recently, it had decided to reorganize the business as the Chief Executive Kazuo Hirai finds it difficult to get through challenging times and save Sony from posting huge losses.
“The previous MRP was focused principally on achieving significant sales growth,” the Japanese consumer electronics giant said in a statement.
“The new MRP was modified to address the significant change in the market and competitive environment of the mobile business. Under the new MRP, the overarching strategy for the MC segment has been revised to reduce risk and volatility, and to deliver more stable profits,” it added.