Sony job cuts more then just Europe

From what it says there will be layoffs in the game areas for Japan and USA also along with the layoffs in Europe. IMO looks like PS3 is hurting Sony.

Last week, news leaked that 160 "redundancies" at Sony Computer Entertainment Europe, roughly 10% of their workforce, were being cut from the company following the launch of the PlayStation 3 overseas. Such downsizing does not appear to be limited to Europe. Sony Computer Entertainment spokesman Satoshi Fukuoka told Reuters such changes could be in store in both Japan and the United States, though nothing has been decided -- yet.

If cuts were to take place, however, Fukuoka says the downsizing would not be related to sales of PlayStation 3, but due to a shift towards "changes in the game industry," such as the movement towards online distribution vs. retail packages.

Given that PlayStation Network hasn't been around for a year, here's hoping there's a little more to that decision than just a push to more games like Calling All Cars.

http://www.1up.com/do/newsStory?cId=3158981

Good news if it leads to a quicker price drop. They can hire people back later and pay them less money.

even if the ps3 fails (wich wont happen) sony wont go bankrupt because of that

they make alot more profit form their other products 

Good news if it leads to a quicker price drop. They can hire people back later and pay them less money.

 

diggyzoom

 That's just wrong, not only wrong but illegal on UK and other parts of EU, not in the USA though, I think it's illegal in Japan too. No company should do that, companies are nothing without their workforce.

I hate Sony right now and my PS3 is gathering dust, but I never like to see people lose their jobs. Their lives revolve around them, it's how they support their families.

Topics about people losing jobs should be left off of message boards like this. It only opens the door for idiots to make comments about it being good that they get fired so Sony can die and good that this will lower Sony's wage cost so they cut the price of the PS3.

Leave layoffs to financial analysts, I feel for people sometimes, and this just happens to be an example of one of those times.

Good news if it leads to a quicker price drop. They can hire people back later and pay them less money.

 

diggyzoom

That's just wrong, not only wrong but illegal on UK and other parts of EU, not in the USA though, I think it's illegal in Japan too. No company should do that, companies are nothing without their workforce. themyth01

A workforce that's replaceable.

[QUOTE="diggyzoom"]

Good news if it leads to a quicker price drop. They can hire people back later and pay them less money.

 

Eltroz

Taking deserate actions already, the ps3 deficit is getting to Sony who unlike MS cannot rely on such a huge wallet.themyth01

Do you really think it's because Sony can't afford to pay those 160 people?

Sony is the second largest electronics manufacturing corporation in the world. It cut those jobs for efficiency's sake, not because it couldn't afford to pay those people.

[QUOTE="themyth01"] Taking deserate actions already, the ps3 deficit is getting to Sony who unlike MS cannot rely on such a huge wallet.fuzzysquash

Do you really think it's because Sony can't afford to pay those 160 people?

Sony is the second largest electronics manufacturing corporation in the world. It cut those jobs for efficiency's sake, not because it couldn't afford to pay those people.

 GM is the largest car manufacturer and was in major financial troubles and even came close to going into bankruptcy. Why do people believe just because it's a big company, it could never go out of business. Fact is, larger companies are harder to manage and control. They can go bankrupt just like any other company.

[QUOTE="Eltroz"][QUOTE="diggyzoom"]

Good news if it leads to a quicker price drop. They can hire people back later and pay them less money.

 

diggyzoom

I think this move just highlights that Sony is in a bad position and that they need to get their act together. 

[QUOTE="themyth01"] Taking deserate actions already, the ps3 deficit is getting to Sony who unlike MS cannot rely on such a huge wallet.fuzzysquash

Do you really think it's because Sony can't afford to pay those 160 people?

Sony is the second largest electronics manufacturing corporation in the world. It cut those jobs for efficiency's sake, not because it couldn't afford to pay those people.

[QUOTE="themyth01"] Taking deserate actions already, the ps3 deficit is getting to Sony who unlike MS cannot rely on such a huge wallet.fuzzysquash

Do you really think it's because Sony can't afford to pay those 160 people?

Sony is the second largest electronics manufacturing corporation in the world. It cut those jobs for efficiency's sake, not because it couldn't afford to pay those people.

 The jobs cut in EU were from the dev studios.

Most of the jobs lost were in the Getaway studio and eye toy studios in london. 

[QUOTE="diggyzoom"]

Good news if it leads to a quicker price drop. They can hire people back later and pay them less money.

 

themyth01

That's just wrong, not only wrong but illegal on UK and other parts of EU, not in the USA though, I think it's illegal in Japan too. No company should do that, companies are nothing without their workforce.

You probably just answered your own questions.  It's very expensive to maintain these types of jobs in Europe.  It's not worth the hassle and expense to keep them.  Ask Boeing. 

[QUOTE="fuzzysquash"]

[QUOTE="themyth01"] Taking deserate actions already, the ps3 deficit is getting to Sony who unlike MS cannot rely on such a huge wallet.Danthegamingman

Do you really think it's because Sony can't afford to pay those 160 people?

Sony is the second largest electronics manufacturing corporation in the world. It cut those jobs for efficiency's sake, not because it couldn't afford to pay those people.

Enron wasn't much of an actual provider, they were more of a trading group who posted paper profits to make money on fraud.  I should know, they were the first company I worked for out of school.  I knew people that lost everything with them. 

I do feel bad for the Sony employees. I do find it funny though they are saying that they want to go towards online selling of games compared to retail selling. That would mean PS3 is in store for a bunch of bad games then if that is true. Who wants to download a few games like Lair or heavenly sword. I would rather buy in retail so i can keep the disc and not have to worry if i have to delete the game to make room.Eltroz

Not to mention, if the next gen games are all so big.

Imagine how long it would take to download the games....

Internet speeds have not caught up to downloading that ammount of data yet for a reasonable ammount of time.