Sony to Cut Jobs in Gaming Division

Citing changes in the gaming industry, Sony announced that it would likely be cutting hundreds of jobs in its gaming division across Europe, Japan, and The United States. The exact number is unknown, but a spokesperson for its European division said a little over 8 percent of its 1,900 employees would be laid off. A final decision on cuts would likely come by next month.

Sony is under increasing pressure to turn its business around, and it has taken heavy losses in its gaming division to ensure a good launch for the PlayStation 3. For the final calendar quarter of last year, Sony reported losses of $1.05 billion. While job cuts are only one possible solution to the problem, it does appear one of the most likely.