Sony Pays The Price (SNE)(MSFT)(AAPL)
Sony's shares have dropped from about $53 in late April to $39 yesterday.
Things had been going well for Sony's shareholders after the appointment of Howard Stringer as the new CEO.
But, then things at Sony started to fall apart, again.
Sony makes the batteries for the laptops from companies like Dell. These batteries are being recalled due to overheating and fires. Sony is also being damaged by concerned that its new PlayStation 3 will launch late. And, Microsoft has been updating its XBox and upping its marketing spending.
Under Mr. Stringer it would appear that little has improved since the initial optimism of his appointment. The recent bad news could also hurt the company financially with the battery recall cost hitting as much as $500 million.
Sony is not longer viewed at the engineering powerhouse it once was, introducing innotative products virtually every year. That mantle seems to have passed to Apple.
With Sony on a spiral down, perhaps Apple will learn something about the road ahead.
Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.
Things had been going well for Sony's shareholders after the appointment of Howard Stringer as the new CEO.
But, then things at Sony started to fall apart, again.
Sony makes the batteries for the laptops from companies like Dell. These batteries are being recalled due to overheating and fires. Sony is also being damaged by concerned that its new PlayStation 3 will launch late. And, Microsoft has been updating its XBox and upping its marketing spending.
Under Mr. Stringer it would appear that little has improved since the initial optimism of his appointment. The recent bad news could also hurt the company financially with the battery recall cost hitting as much as $500 million.
Sony is not longer viewed at the engineering powerhouse it once was, introducing innotative products virtually every year. That mantle seems to have passed to Apple.
With Sony on a spiral down, perhaps Apple will learn something about the road ahead.
Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.
posted by douglas mcintyre at 6:20 AM
Subscribe
<< Home