Sony readies for its second act in China

Sony Computer Entertainment Japan Asia President Hiroshi Kawano holds a new PlayStation Vita during a news conference in Tokyo Sept 9, 2013. [Photo/Agencies]

Initially, Sony Mobile paid more attention to Japan and some European markets, where the company has enjoyed a traditional advantage and has a good customer base. But its next step is to conquer major markets such as China and the US.

Sony Mobile hopes to sell 42 million smartphones during the 2013 fiscal year (ending in March 2014), up from 33 million units a year earlier.

"We have a clear target to become a solid No 3 smartphone vendor across the world," Dennis van Schie, senior vice-president of Sony Mobile, said in June.

In 2005, Sony Mobile created a craze among Chinese music lovers with its Walkman feature phones sold under the Sony Ericsson brand. But the company's market share shrank with the rise of the smartphone and as domestic rivals joined the race for consumers.

According to the Beijing-based research firm Analysys International, Sony Mobile wasn't even listed in the top 10 smartphone vendors in China. Samsung took the No 1 position with 18.4 percent market share in the third quarter, while Lenovo Group Ltd and Yulong Telecommunication Ltd's Coolpad ranked second and third.

In terms of the game console business, Hirai said Sony is eager to introduce its gaming products to China, but the company needs to meet some requirements first.

"To provide gaming products and services to consumers all over China, we have to consider what kind of software we bring into the country - we need an integrated operation platform to sell our PlayStation products," Hirai pointed out.

China banned the sales of game consoles in the domestic market 13 years ago. But it said in July that if foreign companies register in the new free trade zone in Shanghai, they will be allowed to promote and sell game console products on the Chinese mainland.