Some thoughts on reports that Sony plan to focus solely on premium handsets

Is this potential move by Sony what they need to elevate and propel their brand towards the future? I'm not entirely convinced.

Source: CNet

To anyone who is an avid follower of all things Android news, the reports that Sony Mobile may be looking towards maintaining a high-end handset line – in turn ditching its budget handsets is nothing new. What I thought I’d do here was examine why this move may prove to be detrimental for Sony Mobile.

Take for starters IDC’s q3 2012 results for worldwide smartphone market shares where it’s rather clear that Samsung and Apple both dominate the worldwide market, occupying 31.3% and 15.0% respectively. Interestingly, in fourth position and hot on the heels of third place Research In Motion is Chinese manufacturer ZTE on 4.2% compared to RIM’s 4.3% result. ZTE, a manufacturer who mainly shot through the market with its offerings of budget to mid-range devices show that a market for said devices does exist, and the results speak for themselves – with the OEM overtaking HTC, who round out the top 5 at 4.0%.

What does this all mean with relation to the Sony situation then? Well, the recent CES 2013 conference saw Sony announce their anticipated Xperia Z handset, with a full HD 1080p 5-inch display, S4 Pro quad-core 1.5GHz processor, 2GBs of RAM and 16GB on-board storage with the option for expandable storage. Similarly, ZTE offered consumers a look at their new high-end device, the Grand S which, on paper reads like a variant of the Xperia Z. Features also include a full HD 5-inch display which produces the same claimed 441ppi as the Xperia Z, an S4 Pro quad-core 1.7GHz processor, 2GB of RAM as well as 16GB of on-board storage and an expansion slot for SD cards. Unlike the Xperia however, battery capacity is 1780 mAh compared to the 2330 mAh battery of the Z, but the Grand S is a full millimetre slimmer at 6.9mm than the Z, which in the smartphone game is now the equivalent of a centimetre. Now, whilst the sleekness of a phone might appeal more to some, it’s unlikely consumers would be ready to give up battery life for style (which is where the Xperia Z could excel), but given ZTE’s track record, the possibility of the Grand S landing a price tag closer to a mid-high / entry level premium handset could make the Grand S a serious contender in the emerging full HD market. This could be where Sony may fall.

Sony Xperia Z

ZTE Grand S

After the acquisition of Sony Ericsson in early 2012, and the subsequent rebranding of all Sony Ericsson handsets to Sony mobiles in late 2012, death was marked for their non-smart (“dumb”) phones in a move towards a line of Xperia smartphones, starting with the Xperia S. Unfortunately, though initially intended to be a high-end device, devices such as the HTC One X and Samsung Galaxy SIII loomed on the horizon and soon the Xperia S was largely overshadowed by handsets with displays which dwarfed the Xperia’s 4.3” screen and featured advanced, quad-core processors with batteries to suit.

That’s not to say the Xperia S was a bad device, by all accounts it was a brilliant device released at the wrong time. Its LED display churned out pixels like no other phone, thanks to its smaller display – and that statement holds true today if we exclude 1080p displays. [It’s significant to note however, that pixels on devices with pixel densities over 300 (the Xperia S being 342) are barely noticeable to the naked eye.] The Xperia S also received some Android Open Source Project (AOSP) love, which improved its popularity amongst developers and budding Android enthusiasts, and it was this move by Sony which arguably saved their first solo device from being sent out to the pastures earlier than it could have been.

Back in the days of the earlier Xperia range with Sony Ericsson, it’s apparent that the manufacturer, like Motorola have always in some regard prided themselves on build quality and finish –  albeit most of their creations ended up looking like recycled Xperia designs with names often varying by words or lettering to distinguish it from a crowd of lookalikes. But that was, and still is Sony’s thing. They have their own design language which works for them – much like Samsung, and their Galaxy line, or HTC with their One/Desire series (which has become equally irritating to decipher model variations for seemingly identical devices).

Notable devices such as the X10, X10 Mini, Play and Arc were all either low - mid range devices which no doubt helped Sony Ericsson gain some traction in the mobile market. Recently however, we have witnessed Sony release a slew of high-end devices such as the Xperia V, Arco S, T (featured in the Bond film Skyfall), and now the Z/ZL. For Xperia Product Manager Stephen Sneeden to even consider leaving low-end devices behind, because he feels the “’Sonyness’” and image of a “premium” brand they want for themselves is lost on said devices, then Sony have clearly forgotten where they came from.

Sony Ericsson Xperia X10

Sony Ericsson Xperia X10 Mini

Sony Ericsson Xperia Play

Sony Ericsson Xperia Arc

Understandably, if Sony were in Samsung’s position and managed to rake in exorbitant profits for their range-topping Galaxy SIII and Note II, which are primarily comprised of plastic, then they could afford to keep their plastic low-end devices whilst still maintaining a mostly stellar brand image. Sony have yet to hit it big in the high-end market, and hopefully the upcoming Z provides that opening from them, without letting it go to their head – because their views seem to closely mirror those of  an opposing force outside the Android realm, whose aim is to limit choice for consumers.

Sony need to keep up its game in the low-end market, even if it means coming up with a new range separate from their mid - high end Xperia line. Because there will always be someone out there on a budget, looking for something alternative to your standard Samsungs and HTCs.