Filed under: Hardware, Odds and ends
Sony lays off 16,000; will close factories
Sony announced today it plans to lay off 16,000 workers, close a handful of factories and reduce electronics investment by a third, as their comeback effort falls apart. Sony is both Apple's competitor in the mobile phone market and their partner for computer components, including batteries.
"Five or six" factories will be closed, with only one named so far: Sony Dax Technology Center, in France. Several other factories in Japan will be closed, and one other abroad, according to the IDG News Service.
8,000 full-time employees will be laid off, along with another 8,000 temps and contractors. Those 16,000 people represent about nine percent of their workforce.
Forbes.com's announcement of the layoffs attributed some of Sony's loss of revenue to Apple's dominance in the music player market, a torch Sony once carried.
Sony hopes the moves will save them a billion dollars going into its next fiscal year, which starts in April.

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Reader Comments (Page 1 of 1)
kie said 3:28PM on 12-09-2008
shouldn't this be on Engadget if it isn't?
How is this Apple related?
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Robert Palmer said 3:36PM on 12-09-2008
Consider reading the second sentence in the first paragraph, and the entirety of the fourth paragraph. It's 43 words, and should only take you two or three minutes to read.
Damien said 3:53PM on 12-09-2008
It was, ad I think they're trying to say Apple did it. Which is kinda lame =P
paul said 4:13PM on 12-09-2008
Um, there are literally thousands of companies that are competitors for Apple products. This news has no place here. Just because you have to fill your quota of posts for the day doesn't mean they should be mediocre ones.
Robert Palmer said 4:19PM on 12-09-2008
@paul: You're absolutely right. What was I thinking? 16,000 people fired from an Apple supplier doesn't mean anything to the Apple community.
I'll remove the story now. I love you.
paul said 4:50PM on 12-09-2008
@Robert: Leave your unprofessional attitude at home, son. You're a paid journalist, not a clerk working the night shift at Rite Aid. Start acting like it.
Your readers, on the other hand, are not bound under these same expectations. They are not employees. But you are, and your sarcastic, insulting comments (like "It's 43 words, and should only take you two or three minutes to read.") would be grounds for termination at any other job. Keep that in mind the next time you want to lash back at readers who dare criticize you, otherwise it may come back to haunt you.
Robert Palmer said 5:14PM on 12-09-2008
@paul: Thank you for your helpful feedback! I'll forward it to my editors, and I look forward to my imminent termination.
I still love you.
Mike said 7:12PM on 12-09-2008
Geez, eff off Paul. Nothing annoys me more than all of you TUAW Nazis who troll the comments looking for a fight. You ruin a great thing like TUAW for readers like me. If you don't like what's written, sayonara and start your own blog. With your b.s., I'll be sure to avoid it like the plague.
waiownsyou said 3:28PM on 12-09-2008
Source says 4% of workforce, not nine....
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Robert Palmer said 3:34PM on 12-09-2008
16,000 ÷ 185,800 = 0.08611.
SpinThis! said 5:28PM on 12-09-2008
I believe the article is correct here—they probably got it right from Sony. You measure workforce by the number of hours, not number of people.
If you have a company of 10 people, 2 of which only work 20 hours a week, you have roughly 9 "full time" employees. If you cut both PT employees, you're not cutting 20% of your workforce, you're cutting 10%.
Galley said 3:36PM on 12-09-2008
I'm doing my share; I just bought a BDP-S550 BD player.
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Chris said 3:36PM on 12-09-2008
This is one of those articles where I find myself emotionally bifurcated. I really dislike Sony as a company, particularly after the root kit debacle among other no no's they've been apart of. As a matter of principle I no longer directly buy Sony branded products. However, reading this article reminds me that there is a human aspect to this as well. People losing their jobs is never nice to read about. Compound that with the current and foreseeable economic situation and now I have to concede, I actually feel bad for Sony.
I'm constantly amazed at how a little perspective changes everything.
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a said 4:11PM on 12-09-2008
shouldn't this be on Engadget?
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Chuck said 10:38AM on 12-11-2008
Probably a few Blu-ray factories in that list.
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