Sony to Outsource Flagship Xperia Smartphone Manufacturing

A new report from Japan indicates that Sony is making a significant change to its smartphone strategy, planning to outsource the production of its flagship Xperia handsets to third-party manufacturers. This move marks a departure from its previous in-house assembly process for these premium devices.

Key Highlights:

• Outsourcing Flagship Production: Sony will no longer assemble its flagship Xperia smartphones in its own facilities and will instead rely on external manufacturers for production.
• Long-Term Strategy: This decision is cited as a long-term strategic shift for Sony, which has maintained its presence in the competitive smartphone market despite holding a global market share believed to be under 1%.
• Manufacturing Plant Changes: The report notes that Sony’s three previous flagship manufacturing facilities in Thailand and China no longer list smartphones among the devices they produce.
• Xperia 1 VII First Affected: The Xperia 1 VII, a recently reviewed model, is reportedly the first flagship phone to be assembled by a third party.
• Continued US Absence: For the second consecutive year, Sony has opted not to ship its flagship smartphone to the U.S. market, largely due to its inability to secure deals with American carriers.
• Price Consistency: Despite the manufacturing shift, the price of the Xperia 1 VII remains consistent with its predecessor, starting at £1,399 for the 256GB model.
• Sony’s Broader Business: The report contrasts this mobile strategy with Sony’s success as a consumer electronics powerhouse, especially as a leading supplier of image sensors for smartphone cameras, holding over 55% market share.

This shift suggests Sony is seeking to optimize its mobile division’s efficiency and cost structure, even as it navigates a challenging market where its Xperia line has struggled to gain significant traction, particularly in key regions like the U.S.

For more information, you can read the full article on PhoneArena: Report: Sony won’t build any more flagship Xperia phones