Japan's Sony Corporation has announced losses of $3.2 billion for the fiscal year that ended March 2011, the company's biggest net loss in 16 years.
Increased competition by big names like Apple and Samsung has played a major role in causing the electronics giant to lose its lead.
Furthermore, March's devastating earthquake and tsunami have hurt Sony's production, and cyber attacks on its PlayStation network have hurt its image.
But the electronics giant predicts it will return to profit after boosting sales by more than 4 per cent in the coming year.
Azhar Sukri reports.
Source: Al Jazeera