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Sony Will Spin Off Video & Sound Unit, Others to Follow

Existing subsidiaries, like Sony Computer Entertainment, are slated to get even more autonomy.

Sony plans to split off its stable, but not growing, Video & Sound business unit starting in October, the company said today in a corporate strategy meeting.

The unit, which makes things like headphones and Blu-ray players, will be relaunched as a “self-sustained, wholly owned subsidiary,” Sony said, and other units will follow. Divisions that already operate as independent subsidiaries, such as the PlayStation-making Sony Computer Entertainment, will be given even more autonomy in the future.

In a briefing with investors, CEO Kaz Hirai declined to rule out a potential outright sale of the company’s two biggest losers, its TV and mobile phone units.

The announcements came as part of a broader restructuring plan, aimed at improving the Japanese electronics giant’s return on equity for shareholders over the next three years. The current winners in its portfolio, including camera sensors and gaming, will be the center of profit-growth plans.

Last year, Sony sold off its struggling Vaio personal computer business and restructured its TV unit, cutting 5,000 jobs in the process. Although the company continues to post losses, its efforts at restructuring led by CFO Kenichiro Yoshida have pleased investors, according to Reuters.

This article originally appeared on

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