Technology

Here Come The Sony Job Cuts

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Looks like 10,000 people are being cut.  You can get more details here at layoffwatch.

Takeaways

  • Issues with the Japanese economy and the TV market seem to be a big part of this.
  • This is not the first time Sony has done big layoffs – in fact they’ve done some with selloffs and consolidation recently.  I’d say this is more of a trend.
  • The cuts are, obviously, in the display area.  Half the cuts are unspecified – so get ready for politics.
  • Some execs are being asked to return their bonuses.  This may be an act to force contrition and look like accountability – which I buy.  So I think Sony has an image concern.
  • Considering Sony’s reach this could affect various Geekonomic-heavy cities/areas, so pay attention.

– Steven Savage

Dismal Yahoo News Of The Day and The Power Of A Name

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The Layoffs have Started.  Meanwhile, Yahoo is countersuing.

Honestly, I can’t see any reason for Yahoo to continue as anything else.  Their refocusing doesn’t make a lot of sense to me, I don’t see a plan, and I can imagine they’ve annoyed the bejezus out of people with the lawsuit.  What’s left?

However I’d add this – even if Yahoo does have a plan, a winning strategy, something that will work, there’s one barrier that really is holding them back.

The name.

Yahoo used to be cool.  It used to be a big thing.  Then they slipped, and everyone else came in and, well . . . you know the rest.  Yahoo is now laying people off and suing other successful companies, and people are just feeling sort of angry/sorry for them.

The name Yahoo now means “failure” (and a rather drawn-out, lashing-out failure at that).  There’s little chance Yahoo can get over that.

So, oddly, I think Yahoo’s best chance, whatever their other plan, is to acquire/partner up with some others and form a newly-named business to get the hell away from their name.  That may be enough psychological boost – and a good branding exercise – to help good plans be realized.

That requires good plans, but even they will have to overcome the name problem . . .

– Steven Savage

(Oh, and I maintain my “only apply with the utmost caution to Yahoo” stance.)

 

Groupon A Target For Shareholder Legal Action?

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There’s serious concern it is, especially with it’s accounting practices – and the fact it’s “revisiting” numbers, which is crashing the stock.

I’d be nervous, and though I know they’ve been hiring, approach them with caution.  Groupon’s really had that “too good to be true” vibe for awhile, and now that shareholder legal action is being tossed around, that’s a big red flag.

– Steven Savage