Sony Electronics Undergoes Major Reorganization

As the boundaries between audio, video, and information technologies continue to blur, so will the corporate boundaries between Sony Electronics' audio, video, and information-technology divisions. Last week, Sony announced the creation of a new organization that the company says integrates its A/V and IT companies into one overall "Consumer Electronics Group," or "CEG." Sony adds that the new structure combines the company's Consumer Products Marketing Group and its Personal Network Solutions Company into one organization. Fujio Nishida was named president of CEG; the new organization will become effective April 1.

Sony says that the CEG will consist of four newly organized divisional companies. Two of these relate to Sony's PC and digital imaging businesses, which the company says are its fastest-growing business units. The second pair of new companies integrates the divisions of Sony's home, personal, and mobile audio/video groups, which the company hopes will address the consumer marketplace from a fully integrated applications-based perspective.

The Home Network Products Company (HNPC) and the Personal Mobile Products Company (PMPC) will be based in Park Ridge, New Jersey, with the two computer/imaging products operations based in San Diego, California. According to Sony, the HNPC includes Sony's consumer television, digital media, and other home A/V businesses. HNPC's new president will be Vic Pacor, formerly head of Sony's TV and digital media businesses. The PMPC combines Sony's personal audio, mobile electronics, home telephone, and accessories businesses, and will be headed by Ron Boire as president, who has been in charge of Sony's personal audio division.

Sony's Teruaki Aoki states that "this new structure will help Sony adapt even faster to our ever-changing technology landscape. CEG provides a single market-oriented focus that will help put the digital devices and interactive services of the future in our customers' hands even faster than before." Aoki adds that "CEG will improve communications with corresponding Sony Corporation network companies in Japan."

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