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Sony exec admits strategic music mistakes

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By LC Angell

Contributing Editor
Published: Friday, January 21, 2005
News Categories: Other

The head of Sony’s video game unit said this week that his company missed out on potential sales from its line of digital audio players because it was overly protective of Sony’s music content. “Ken Kutaragi, president of Sony Computer Entertainment, said he and other Sony employees have been frustrated for years with management’s reluctance to introduce products like Apple’s iPod, mainly because the Tokyo company had music and movie units that were worried about content rights. Now, Sony’s divisions are finally beginning to work together and share a common agenda, Kutaragi said at the Foreign Correspondents Club in Tokyo.”

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Comments

1

You would think that Sony would have learned their mistake from the Beta video days of the 80’s, but no.

Posted by miketex on January 21, 2005 at 12:47 PM (PDT)

2

This also goes to show that the content industry is to worried about protecting it’s content and not going ahead and making money on other services or products to where they can provide content for them. Sony has just cut there own throat in hardware sales by not providing content.

Posted by Zardoz in Austin TX on January 21, 2005 at 2:50 PM (PDT)

3

I know.  Think about it.  Tons of people are stealing (if that’s what you believe) your music.  So you are losing money there.  Then refuse to sell them a product that will play the stolen music in a market that has plenty of products that will play that music.  So you lose money there.  It’s a lose/lose situation.  You could at least make money on the hardware up front and worry about selling the music later.  Stupid Stupid Stupid.

Posted by purplestallion in Dallas, Texas on January 21, 2005 at 5:49 PM (PDT)

4

Quote:  “You would think that Sony would have learned their mistake from the Beta video days of the 80’s, but no.”

Or minidisc…now pushing memory stick…ATRAC…SACD…  Worse than MSFT in trying to monopolize a market.  How are they worse?  They’re unsuccessful at it (thankfully).

How true and exactly why I won’t buy any Sony products. 

Posted by Frank (Atlanta) on January 21, 2005 at 6:26 PM (PDT)

5

PS:  I do realize the irony of posting the preceding on an iPod/iTunes site… 

Posted by Frank (Atlanta) on January 21, 2005 at 6:32 PM (PDT)

6

Well guys, Sony has had their successes too. Do you remember your compact discs? PS and PS2?

Mistakes happen. They move on. Still one of the biggest entertainment companies in the world. Apple is chump change compared to Sony. Apple has the iPod and not much else.

Posted by syciprider on January 21, 2005 at 7:36 PM (PDT)

7

It’s true, sony has had their successes, but this is certainly not one of them.They are too overprotective and of their products and it will eventually hurt their ares of success if they don’t change their way of thinking.
Apple may be a small company, but is almost untouchable in this market right now because they put something out that their competiors can only wish they have thought of a long time ago, believe me I know because I was a minidisc user for 5 years and now I finally own an ipod because it is so much better and not too restricted. Let’s see if sony really learns from the error of their ways…....

Posted by crowpod on January 21, 2005 at 8:44 PM (PDT)

8

hmmm if this is true, this could actually be really bad news for the ipod + mini. if sony starts loosening up their restrictions on content their players would definitely become more desirable. i dont think anyone can deny that when it comes to styling and ergonomics, sony was and still could be the leader in portable music players.

Posted by b6662966 on January 22, 2005 at 2:12 AM (PDT)

9

“hmmm if this is true, this could actually be really bad news for the ipod + mini. if sony starts loosening up their restrictions on content their players would definitely become more desirable.”

What?  The only thing this says is that Sony should have made MP3 an option from the get-go on their digital music players.  Don’t tell me you believe that they are going to loosen DRM.  If you believe that, you’ll believe anything.  Too little, too late for this one, Sony.

Posted by Quoth_the_Raven in Herndon, VA on January 22, 2005 at 6:00 AM (PDT)

10

for one, they are trying to open up.. one of their newer line of laptops actually feature an SD card slot. I guess some of Sony’s products like their digital cameras are good and can reach more if they added support for SD cards

Posted by joon on January 22, 2005 at 7:29 PM (PDT)

11

Sony missed the big opportunity when they could have been the leader in online music, since they have all the resources in the music department. Now, they have to work extra hard to gain grounds from Apple. Sony have the financial support as well, if they put their minds into it…let’s wait and see.

Posted by shoutjack in Taipei on January 23, 2005 at 4:55 PM (PDT)

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