Sony's Comeback

Sony (NYSE: SNE) may be developing a new phone that would better compete with the iPhone and be offered as an alternative to the PlayStation Portable. The device would likely go beyond the “Aino,” which Sony Ericsson (NSDQ: ERIC) unveiled last month, and allows users to tap into their PlayStation 3 while on the go.

Japan’s Nikkei business daily reported this weekend that Sony plans to set up a project team as early as next week that would develop a new product that combines the PSP and Sony Ericsson’s mobile phones, Reuters reports. The device was being referred to as “a cellphone-game gear hybrid.”

For years, there’s been some questions as to whether the phone manufacturer, which is a joint venture between Sony and Ericsson, would have access to the Playstation brand. The Aino last month provided the first evidence that Sony Ericsson phones could at least use the brand and tap into some of the gaming console’s features. How far the two will go together to create a gaming-focused device remains to be seen, but to be sure the two companies are likely considering everything in the hopes of finding a product that will boost the handset-maker’s marketshare.


from the washington post