Just like Nokia, Sony Ericsson has also reported of a weak quarter, but while the Finnish manufacturer reported a 1.469 bil. euro profit, the Japanese-Swedish company has a loss of 25 million euros. Sony Ericsson sold 25.7 million cell phones in the July-September period, which is a 5 percent increase, compared to the 24.4 million handsets in the previous quarter and is barely less than the 25.9 million phones in the same period last year. The loss of the manufacturer is mostly due to the decreasing handset price which is the result of the more and more powerful competition on the market. The average sale price per handset has been 120 euros in Q3 2007, which has decreased to 116 euros by the previous quarter and to 109 euros by Q3 2008. The financial results are no surprise, since the company has many times reported about the diffiiculties on the market. Still, the situation is far from being hopeless.
It can be seen from the sales above that the demand for the manufacturer's devices has an increasing tendency and even more they are to launch three new Walkmans (W302, W595, W902), a UMA phone (G705u) - some of these providing YouTube access (W595, W902, G705) - amd the first Windows Mobile phone, Xperia X1; all of these are set to be available in the Christmas season. The manufacturer has of course serious expectations of the first 8 megapixel camera phone on the European market, C905, and of T700 which has a low price, but it's made of metal, has stereo speakers and it's also elegant. For the sake of profitable operation the company has started internal restructuring, which might come to and end by the first half of 2009. The company expects 300 million euros worth of savings of this change (which resulted in many workplaces being ceased to exist), which might return them to profitability.
Translated by Szaszati
