Sony Electronics cutting 1,000 jobs by end of 2014 -- Doesn't affect gaming
Technology giant also confirms it will close 20 retail stores and sell its former headquarters in Tokyo.
Sony Electronics, the division of the technology giant that creates TVs and cameras, will lay off about one-third of its staff--or around 1,000 people--by the end of 2014. The company announced the news Wednesday, which is aimed at allowing the company to "maintain its competitiveness in an evolving consumer electronics market."
The layoffs are part of the 5,000 jobs worldwide Sony announced it would cut earlier this month. On top of the job cuts, Sony said it will close 20 Sony Stores in the United States, leaving only 11 left in operation across the country. A breakdown of affected stores is available on Sony's website.
"While these moves were extremely tough, they were absolutely necessary to position us in the best possible place for future growth," Sony Electronics president and COO Mike Fasulo said in a statement. "I am entirely confident in our ability to turn the business around, in achieving our preferred future, and continue building on our flawless commitment to customer loyalty through the complete entertainment experience only Sony can offer."
Meanwhile, The Wall Street Journal's AllThingsD reports that Sony will sell its former Japanese headquarters for an estimated $146 million. It would be the third major office building Sony has sold in the past year, following the $1.1 billion sale of the company's U.S. headquarters and one of its major outfits in Tokyo for another $1.2 billion in February 2013.
Sony Corporation is a massive company and its Electronics division is one of a half-dozen business units at the company. Others include Sony Mobile, Sony Pictures, and Sony Music, as well as gaming-focused divisions like Sony Computer Entertainment and Sony Online Entertainment. Importantly, today's news does not ostensibly affecting Sony's gaming initiatives, though the company did recently cut a number of jobs and cancel one game at God of War developer Sony Santa Monica.