TOKYO — Sony Corp. said on Thursday it will restructure its operations in order to boost its competitiveness in the studio and industrial video business.
On Jan. 1, 1998, the Japanese electronics giant will merge its Broadcast Products Group and Image & Sound Co. to form the new Broadcast & Professional Systems Co. The two groups deal in industrial- and studio-use videotape equipment.
Sony also will establish a new company called Digital Network Solution Co. at the same time to boost digital networking.
“These changes we are announcing today will allow Sony to take advantage of the opportunities offered in the digital networked society, strengthen our core business, and offer even better service to our customers,” said Sony president Nobuyuki Idei in a statement.
The move is expected to make Sony studio- and industrial-use video equipment operations more efficient during its ongoing battle with rival Matsushita Electric Industrial Co., which has been eating away at Sony’s market share.
Sony said the reorganization also will strengthen its hand at developing digital products in the fields of image creation and transmission systems.