Feeds

Sony Ericsson slashes US presence

Layoffs trail shrinking sales

The Power of One Infographic

Sony Ericsson, bowing to the pressures of a Meltdown-induced decline in worldwide handset sales, has announced more layoffs in conjunction with a wide-ranging restructuring.

On the same day that President Obama warned that the US economy runs the risk of a "double-dip recession," Sony Ericsson doubled-down on its employee reductions.

As reported by North Carolina's Triangle Business Journal, Sony Ericsson informed employees on Wednesday that it will close its North American headquarters in that state's Research Triangle Park, tossing 400 employees onto the recession-clogged streets. North American R&D will move to Redwood Shores, California, a tech-industry cluster north of Silicon Valley.

The 400 new job-seekers will join 450 RTP workers made redundant in September 2008 as part of the company's plan to cut 2,000 jobs announced two months earlier.

Sony Ericsson will move its North American headquarters to Atlanta, Georgia. According to the TBJ, the Miami, Florida, office that managed the company's Latin American operation will also be closed, and the two divisions will be consolidated in one, to be named Region Americas. The company will also shutter offices in San Diego, California, and Seattle, Washington.

The decline in worldwide mobile-phone sales hasn't been kind to Sony Ericsson. According to a research report from IDC published at the end of this summer, global mobile-phone sales had dipped to 269.6 million units in the second quarter of 2009, down nearly 11 per cent from the 302.2 million units sold during the same period the year before.

Of those shrinking sales, Sony Ericsson's shrinkage was among the shrinkiest. The company's market share of 5.1 per cent in the second quarter of 2009 slipped from 8.1 per cent in the same quarter in 2008 - a drop of 43.4 per cent. ®

The Power of One Infographic

More from The Register

next story
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
Major problems beset UK ISP filth filters: But it's OK, nobody uses them
It's almost as though pr0n was actually rather popular
Microsoft unsheathes cheap Android-killer: Behold, the Lumia 530
Say it with us: I'm King of the Landfill-ill-ill-ill
All those new '5G standards'? Here's the science they rely on
Radio professor tells us how wireless will get faster in the real world
Apple orders huge MOUNTAIN of 80 MILLION 'Air' iPhone 6s
Bigger, harder trouser bulges foretold for fanbois
Oh girl, you jus' didn't: Level 3 slaps Verizon in Netflix throttle blowup
Just hook us up to more 10Gbps ports, backbone biz yells in tit-for-tat spat
GoTenna: How does this 'magic' work?
An ideal product if you believe the Earth is flat
Telstra to KILL 2G network by end of 2016
GSM now stands for Grave-Seeking-Mobile network
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.