Sony is set to abandon its videoconferencing business in Europe, the Middle East and Africa, according to a report published by US-based market analyst Wainhouse Research.
While Sony has yet to make a formal announcement regarding the future of the division, the impact of the recession combined with fierce competition from industry stalwarts Cisco and Polycom, is thought to be behind the development.
“Wainhouse Research has learned that Sony plans to halt its videoconferencing activities in Europe as of the end of Q1 2010,” confirmed Wainhouse analysts Andrew Davis and Ira Weinstein in a statement. “When asked for a formal statement, a Sony representative provided the following:
‘In the past months, we have been operating in an unprecedented economic recession in Europe which is putting increasing pressure on business across the entire EMEA zone. In light of this ongoing economic situation, Sony PSE has decided to discontinue its videoconferencing business in EMEA with effect from 31 March 2010.’”
A Sony EMEA representative was unavailable for comment at the time of press.