Sony’s new three-year plan places its bets on PlayStation

Sony has announced its new three-year plan to return the company to profitability after a series of losses, and it’s focusing on its PlayStation consoles.

In a corporate meeting held today, Sony announced plans to give its divisions more autonomy in an attempt to reach 500 billion yen in earnings by the 2017 financial year.

The company will split its businesses into three categories: “Growth driver,” “stable profit generator” and “area focusing on volatility management.”

Sony’s Game & Network Services business, which features PlayStation, will be categorized as a “growth driver.” Sony now intends to expand the user base of its console platform and PlayStation Network as part of this plan. Comparatively, its TV and Mobile Communications division will fall into the “volatility management” category.

“Sony will place the highest priority on curtailing risk and securing profits in its operation of these businesses,” it said in a note issued today.

“Since both markets are experiencing intense cost competition and commoditization, Sony will strive to further increase the added value of its products by leveraging its in-house technologies and component devices. By carefully selecting the territories and product areas it targets, Sony will seek to limit its capital investment and establish a business structure capable of securing stable profits.”

Sony has sold more than 18.5 million PlayStation 4 consoles worldwide, the company announced earlier this year. According to Sony Computer Entertainment, 4.1 million of those sales came during the 2014 holiday shopping season, from Nov. 23, 2014 to Jan. 4, 2015. Sony also provided PlayStation Plus membership numbers, announcing that it had 10.9 million subscribers as of Jan. 2.