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Sony Ericsson: Stuck in Walkman withdrawal
Sony Ericsson: Stuck in Walkman withdrawal
Ericsson's CEO Hans Vestberg and CFO Jan Frykhammar don't look entertained either.

Sony Ericsson has long touted itself as the deliverer of "entertainment phones," with an emphasis on music playback and high-resolution digital cameras (the Satio boasts a 12.1 megapixel camera), but the company's sales for the past few years have been less than amusing.

In the first quarter of 2010, Sony Ericsson (SNE) sold 10.5 million mobile phones, down from 14.5 million phones from the previous year's quarterly results, according to IDC. And the company's global market share dropped by over 2% in that same period.

"Being the company of the Walkman, they should have known better. They failed to capitalize on the vision for the future. Their hardware was clunky; clunky boxy things that didn't close right," says Ken Dulaney, a Gartner analyst.

Sony Ericsson announced its first Android (GOOG) device, the Xperia X10, last November. The phone was supposed to hit American shelves in February with an AT&T (T) contract, but it has been delayed by several months.

By the time the phone is available with AT&T -- late July or early August, according to Engadget -- it's conceivable that the phone will be yesterday's news.

"Nothing's sustainable for more than about six months. This is a fashion business," says Dulaney.

NEXT: Samsung: Multiple personality disorder?

Last updated July 09 2010: 6:21 PM ET
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