Sony Struggles to Stay in the Game

In just three months, Sony Corp. went from a company on the mend to one whose recovery is now in serious doubt.

Hidekazu Miyahara, an analyst at Marusan Securities, recalls the celebratory mood at Sony’s earnings briefing in Tokyo in late July. The Japanese electronics giant had just reported a net profit for the three months ended June 30 and analysts saw signs of a recovery in Sony’s core electronics operations following restructuring that involved 10,000 layoffs. During the question-and-answer session, another analyst told the executives how excited he was to see the television business finally turn profitable.

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