Sony Ericsson confirms a Christmas stock shortage

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Manufacturer informs distribution and network partners of likely inability to meet stock demands

Sony Ericsson has warned its distribution and network partners it is unlikely to meet their stock demands over the Christmas period.

The Swedish handset manufacturer confirmed to Mobile News last week it is experiencing a shortage of key components for its feature phones including the Txt, Txt Pro and Mix Walkman.

Sony Ericsson has handset distribution deals with 20:20 Mobile, Data Select and Brightstar.

Distribution partners were informed last month to expect shortages, with some claiming delays of up to five weeks for high-end handsets such as the Xperia Pro, Xperia Arc S, Xperia Play, Xperia Ray and the Xperia Neo.

Stock of the Xperia Pro and the Xperia Neo were scheduled to be released during November, but this may now be delayed until mid-December, it has been claimed.

Sony Ericsson also this month reduced the cost of the Xperia Play gaming device from £350 to £150, but distributors say stock for the product will be minimal. A follow-up to the Play is expected to launch in Q1.

Some have suggested the issues with stock are down to Ericsson’s decision after 10 years to sell its 50-per-cent stake in the Sony Ericsson joint venture, which is expected to go through in January for £911 million (see page 8).

Nokia, HTC and Samsung  experienced shortages of stock during the Christmas period last year as a result of component issues.

All other major manufactures insist they do not expect any handset shortages over the Christmas period and will meet demand.

A spokesperson for Sony Ericsson said: “Sony Ericsson can confirm it is experiencing supply shortage of key components used in some feature phones, affecting volumes of these products. We have informed our operator customers and distributors and are working to secure secondary sources of supply. The situation is subject to change and we will update operators and distributors accordingly.”

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