Sony-Ericsson Brand to be Phased Out As the Sony Brand Saunters In

Having acquired the share of Ericsson in Sony-Ericsson, which is a 10-year old joint venture of Sony Corp with Ericsson, Sony is going to change the brand name of the ‘Sony-Ericsson’ mobile phones to ‘Sony’.

Sony Ericsson

A senior executive of Sony said that by June-July 2012, the Sony Ericsson brand will be phased out and replaced by the ‘Sony’ brand name.

The Sony-Ericsson phones have lost substantial market share over the years which now stand at just about 2% of the global market for mobiles. The Company has now climbed the Android bandwagon – chucking Symbian in the process – to bring about a resurgence in its fortunes. It now plans to focus on smartphones alone to bring about the much-needed turnaround. The Android market is currently dominated by Samsung which holds a staggering share of over 50 percent in the Android market.

But we have our misgivings. Admittedly, Sony is a big name – a titan. But, in the minds of customers, the identification of the Sony brand with devices relating to entertainment – televisions, music systems etc – is so complete that the market may not just be comfortable accepting Sony mobile phones/smartphones. Should we prove to be right, buying out Ericsson’s share from Sony-Ericsson would prove to be a misadventure.

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