Two years after taking the helm of Sony Corp., Chief Executive Howard Stringer is quietly preparing a big move to expand the company and challenge rival Apple Inc. in an area that has thus far promised more than it has delivered: video-downloading services.
People familiar with the situation say Mr. Stringer is planning to use Sony’s technology-packed PlayStation 3 and PlayStation Portable videogame machines, along with its Bravia high-definition televisions, to develop products and services to let users download television shows and movies, similar to the way they download music and videos using Apple’s iTunes store and iPods.
As Internet connections have become faster, analysts have expected the next big potential market to be in downloading movies and television shows. Just last week, the company unveiled a Walkman for the U.S. market that for the first time can play movie trailers and music videos in addition to listening to music.
Still, industry observers say Sony has one possible advantage in its quest to a major player in the video downloading market: Content companies like movie studios may be wary of the way Apple dominated the digital music market, and may be more encouraged to work with another company, especially one that owns a movie studio of its own and understands their concerns.
[Via WSJ]