Incoming! Sony to launch two new phones in Feb 2017

Sony is rumoured to launch two new Xperia G series phones at Mobile World Congress in February of next year.

Despite selling fewer Xperia X series phones this year, Sony have managed to make its Mobile division profitable.

According to a report in the Phone Arena, the upcoming Sony Xperia phones bear model numbers G3112 and G3121 and like the Xperia X and XA which were launched earlier this year, could be the company's next foray into mid-range and premium range markets. As of now, Sony is selling two top range phones namely the Xperia X Performance and the well-received Xperia XZ, but if overall sales in the last quarter are considered, the two flagships haven't done really well compared to other flagship phones launched by the likes of Apple, Samsung and Huawei.

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Unfortunately, there are no available images or specification lists of the two upcoming phones but we expect Sony to use the traditional design which has features in both Xperia Z and Xperia X series phones. However, since the phones are presumably ready, we should get to know more about them from official listings in various regions in the coming days. The news arrives at the same time as Sony's announcement of its financial performance in the third quarter which ended September 30.

Sony Mobile's Xperia Z series phones were never among top-selling phones even if they were capable enough to merit purchases in high volumes. However, despite replacing the Z series phones for good with the new X series ones, Sony Mobile's sales have dipped further. According to the company's operating performance report for the third quarter (the company's second quarter), sales have dipped by 39.6% to just $1,671 million 'mainly due to a reduction in mid-range smartphone unit sales, as well as a reduction in smartphone unit sales in unprofitable regions where downsizing measures were implemented during the previous fiscal year, partially offset by an improvement in the product mix of smartphones as a result of a concentration on high value-added models.'

The company notes that the introduction of mid-range phones with advanced features and specifications helped it curb losses even though sales weren't encouraging. While the company's mobile division suffered an operating loss of around 200 million in Q3 of last year, it reported an operating income of $37 million in the last quarter. "Despite the effect of the above-mentioned decrease in sales, profitability improved significantly due to cost reductions, mainly resulting from the benefit of restructuring initiatives, an improvement in product mix, the positive impact of foreign exchange rates and a decrease in restructuring charges," the company added.

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With Sony's mobile division posting profits despite selling 40% fewer devices in the last quarter, it seems that the company's strategy to create a new product mix with more affordable handsets has worked. With sales depleting to an all-time low, it remains to be seen if the upcoming G series phones will catch the eye of buyers and increase device sales in 2017, which should also help the company bring in more income which can be invested in future technologies.

Sony has also released a forecast for expected performance of the mobile division till March 31, 2017. The company expects device sales to go down by another 30.8% but at the same time, expects operating income to rise by $600 million, which could be a result of the company shutting shop in unprofitable regions and performing restructuring activities in others while introducing new devices with lower price tags.

Source: Phone Arena

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