It's official: Sony Ericsson has announced that JV partner Sony will acquire Ericsson's 50% stake in Sony Ericsson Mobile Communications AB ("Sony Ericsson"), in a cash deal of EUR 1.05 billion, making the mobile handset business a wholly-owned subsidiary of Sony. The transaction, which has been approved by appropriate decision-making bodies of both companies, is expected to close in January 2012, subject to customary closing conditions, including regulatory approvals. After completion of the transaction, Ericsson will have no outstanding guarantees relating to Sony Ericsson and will no longer account for Sony Ericsson as an investment on balance sheet. - Expanding Sony's product portfolio: Following the transaction, Sony will integrate the mobile phone business with its consumer electronics business for its growth, according to a statement made by the company. Sony aims at a more seamless integration of smart phones with its portfolio of connected digital devices including Televisions, PCs and Gaming Consoles. Although, Sony Ericsson had branded camera and music phones on the lines of Sony products, for example Cybershot and Walkman, with Sony getting full control, the integration will be expanded to its complete smartphone range. However, the specifics about rebranding have not been discussed. Sony had also indicated in its quarterly results that it will shift its entire handset portfolio to Smartphones in 2012 . - Patents: The transaction also provides Sony with a broad intellectual property (IP) cross-licensing agreement covering all products and services of Sony as well as ownership of five essential patent families relating to wireless handset…
Investment
Sony To Integrate Mobiles Biz Into Consumer Electronics Biz After Buying Out Ericsson’s Stake
Please subscribe to MediaNama. Don't share prints and PDFs.
You May Also Like
News
Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...
Advert
135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...
News
By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...
News
Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...