TOKYO (02/02/2000) - Sony Corp. late yesterday attempted to put an end to rumors that it plans to sell its entertainment units.
The company issued a statement, attributed to President and Chief Executive Officer Nobuyuki Idei in which it said: "There has been much unfounded speculation in the press in recent weeks about Sony's plans for its entertainment assets. We want to be very clear in stating that our entertainment businesses, Sony Music Entertainment and Sony Pictures Entertainment, are not for sale."
"Sony intends to be a broadband entertainment company in the 21st century and, in that regard, it is more important than ever that Sony maintain control of its content."
Sony's vast content database, which includes music, movies and television, is becoming increasingly important to the company. It has a vision of a future where all consumer electronics products are network-enabled and consumers can access and purchase content via the network. With a vast amount of popular content already within the group, it makes starting such ventures much easier than would be the case if it had to negotiate with third parties.
On Wednesday, the Wall Street Journal Europe quoted Thomas Middelhoff, chairman and chief executive officer of German media giant Bertelsmann AG, as saying his company is interested in a possible link-up in the area of music with Sony.
London's Financial Times added the two companies have already been talking but that the talks centered only on cooperation.
Sony Corp., in Tokyo, can be found online at http://www.sony.co.jp/.