Sony moves mobile business to Japan costing 1,000 jobs

Sony makes 1,000 redundancies in its mobile division as it moves the business closer to its headquarters in Japan

Sony is cutting 1,000 jobs in its mobile division as it moves the business closer to its headquarters in Japan.

The decision comes as a result of Sony buying a 50% share in the division from its mobile business partner, Ericsson, in February this year to make Sony Mobile a wholly owned subsidiary of the technology firm.  

Sony will move the existing headquarters from Lund in Sweden to Tokyo, Japan. 

Sony said the move would “enhance operational and development capabilities such as time to market efficiency, streamline supply chain management and drive greater integration with the wider Sony group”.

The move will see 650 roles go in Lund, although Sony said the centre itself will remain open as a centre for software and application development. The other 350 posts will mainly be taken from consultants also based in Sweden.

The redundancies will occur across the rest of this year and into 2013. Sony said all the relevant roles will be cut by the end of March 2014, the end of its 2013 fiscal year.

"Sony has identified the mobile business as one of its core businesses and the Xperia smartphone portfolio continues to gain momentum with customers and consumers worldwide," said Kunimasa Suzuki, president and CEO of Sony Mobile.  

"We are accelerating the integration and convergence with the wider Sony group to continue enhancing our offerings, and a more focused and efficient operational structure will help to reduce Sony Mobile's costs, enhance time to market efficiency and bring the business back to a place of strength," said Suzuki.

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