Sony Focuses on PlayStation to Boost Profits, May Exit TV and Smartphone Market

Sony will rely more heavily on its PlayStation and camera sensors business in an attempt boost profit 25-fold within three years, the company has announced.

According to Reuters, Sony CEO Kaz Hirai said that the company will back away from its smartphone business, where its failing to compete with the dominant Samsung, Apple, and cheaper Chinese manufacturers.

Hirai's comments also indicated that Sony may at some point abandon its once hugely successful TV business, saying that he would not "rule out considering an exit strategy."

Instead, the company will focus on its more profitable camera sensors and PlayStation products, which it hopes will produce an operating profit of $4.2 billion for 2017/18.

Hirai's comments are not all that surprising, as he's essentially reiterating what the company already said back in November 2014. At the time, Sony executives discussed the need to increase margins as opposed to market share at its investors' conference.

Almost exactly a year ago, Sony also announced that it will sell its VAIO PC brand to Japan Industrial Partners Inc. (JIP), and that it would spin off its TV business and operate it as a wholly owned subsidiary.

Sony's PlayStation brand, meanwhile, seems to be doing well. Last month Sony revealed that the PlayStation 4 sold 18.5 million units, and that it had 10.9 million PlayStation Plus subscribers. Earlier this month, an SCEA spokesperson told us that, "PlayStation 4 was the top-selling console in January and remains the cumulative leader in the U.S. according to NPD data."