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Sony Ericsson to log big quarterly losses

Sony Ericsson phone
Sony Ericsson needs to step up its game to survive

When it reports its latest financial earnings on 17 April, Sony Ericsson will come under renewed pressure to act, as it expects losses of close to €400 million (£377 million) for the year's first quarter.

The Swedish-Japanese joint venture warned investors on Friday of the projected losses in a bid to minimise their impact when finalised next month.

Economy, stupid

It also said it expects sales of phones to fall from 24.2 million in the fourth quarter of 2008 to just 14 million this time out. Although that's partly due to seasonal factors, the recession is being blamed.

More astute observers might also suggest that Sony Ericsson needs to revamp its handset line up and introduce some touchscreen smartphones before it falls too far behind the likes of HTC and Apple.

Will Idou do it for you?

Its 12.1-megapixel Idou smartphone is much-anticipated but isn't due until the end of the year, by which time it could well be too late for Sony Ericsson as a viable partnership.