Sony Ericsson is in deep financial trouble. In order to even stay alive, the company needs a $135.5 million infusion of cash according to a report by InformationWeek. If they are unable to raise these funds, the venture between Sony Corporation and Ericsson may end up breaking apart and they may not be making any new phones together anymore.
Sony Ericsson had a rough first quarter where they lost $386 million and their sales dropped 36% from the year before. Sony Ericsson never really had a strong market-share in the smartphone market. But going forward the company vowed to make phones with high quality cameras and will have a bigger focus on multimedia.
The head of Sony Ericsson U.S. Najmi Jarwala stepped down a couple months ago, but the company also brought back Maria Sharapova to help push their brand more.