The chief architect of Sony’s PlayStation game console stepped down on Tuesday as the Japanese company struggles to defend its dominance in the video-game industry and revive its reputation as an electronics pioneer.
Ken Kutaragi (56) stepped down as Sony Computer Entertainment’s chairperson and group chief executive, the gaming unit said on Tuesday. The unit is now headed by Kazuo Hirai, SCE’s former president and chief operating officer.
Kutaragi had already been relieved of day-to-day responsibilities as president last year, but stayed on as its chief executive and chairperson.
Though no longer a board member, Kutaragi will hold an advisory post at the gaming unit, according to Sony official Sayoka Henmi.
The departure of Kutaragi, an icon among gamers, marks the end of an era at Sony that saw the company long dominate the video-game industry with its flagship PlayStation consoles.
But it also highlights troubles at Sony amid a series of blunders over the roll-out of its PlayStation 3 (PS3) and intense competition from Nintendo’s popular Wii console and Microsoft’s Xbox 360.
Kutaragi’s most recent brainchild, the PS3, has been marred by embarrassing production shortages and a $600 price tag that some fans said was too steep, forcing Sony to give away free games and other marketing gimmicks to spur sales.
Sony has also struggled to expand beyond the young, male demographic of ”hardcore” gamers — unlike the Wii, which has actively targeted women, young children and older gamers. Sony’s market share has shrunk as a result.
Tokyo-based Sony shipped 5,5-million PS3 machines in the fiscal year ended March 31, fewer than the six million the company had targeted. Nintendo shipped 5,84-million Wii consoles worldwide during the same period.
In the latest slip-up, Sony was forced to apologise to the Church of England for a violent computer game that features a bloody shootout inside an Anglican cathedral.
The PS3’s hefty start-up costs have weighed heavily on the company’s fight to drive up profit in its core electronics division. Sony is not expecting to post a profit in its game business until the fiscal year ending March 2009.
The flop has added to the woes facing the maker of the iconic Walkman, which has also ceded its leadership in portable music players to Apple’s iPod. — Sapa-AP