Convergence (the idea that a single device will handle multiple tasks) seems to be something everyone is working on but no one is close to mastering. What's so tough about it?
Well, there are huge advantages and disadvantages to it. The disadvantage is that because of piracy, our content companies have been reluctant to embrace some aspects of the new technology.
The success of the iPod has lots to do with that. There is limited security with the iPod, and our content companies wanted greater security. The company has been very supportive in trying to create security on their next generation of Walkman that would be more efficient and effective. That took more time and may even be impossible. It's now been thwarted by iPod, which demonstrated that it could attract consumers.
The positive side is that when you have all this content in multiple catalogues, you are able to work more closely together with electronics companies. This is a recent phenomenon; we now have software engineers in pictures and music working together with Tokyo. They are designing this convergence strategy together. That was not something that happened overnight. It's taken a long, long time. The success of iPod certainly stimulated that transition more recently.
In what way?
We were concerned that creating the technology in Tokyo, where content isn't, would make it tough for the software engineer to develop a successful solution. It was successful with Steve [Jobs, chief executive of Apple] because he understood content as well. For us, it was done separately.
With the success of iPod, there has been a real realisation by software engineers in Tokyo that they need to understand content companies better. Similarly, we will bring our success in content and our growing strength in software engineering here to work together.
Sony Connect is a great example. In 12 months, we've really become a more integrated company, with American and Japanese executives working in harmony, side by side, and that's very promising for a video revolution because, while we may be behind the eight ball on delivery of music, on video, we have plenty of time to improve and grow faster.
Talkback
what type of convergence does sony use