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Better to be safe than Sony October 17, 2011

Posted by Mark Hillary in Hardware, Internet.
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The last few weeks have featured one technology disaster story after another and two of the big ones involved Sony – no stranger to controversy after their Playstation network was hacked earlier this year and the personal payment details of about 77m users were compromised.

Even worse, none of the data was encrypted – a basic error for a company with so much personal data.

Their latest woes surround the recall of around 1.6m televisions because of a fire risk, more of a smoking set than smoking gun. The incidents are clearly not connected, but it is causing immense damage to the brand itself, once the very measure of global quality and expertise in electronic products.

And if Sony are feeling the heat then think of how the executive team of Research in Motion are feeling. The makers of the Blackberry smartphones are recoiling from the pain of tens of millions of their users losing all Internet access (including email) for several days last week.

Blackberry has been suffering for the past few years anyway. The traditional corporate users have been switching to iPhone and Android handsets and the brand has failed to resonate as ‘cool’ with the young. Couple this gentle descent with the recent outage and they might be facing a tailspin – certainly in confidence if not in actual user numbers yet.

Most users – personal or corporate – are locked into contracts, but at the contract expiry they are free to explore other options and this could be extremely damaging for the company in a year or so.

The old expression about capitalism coined by Marx was that ‘creative destruction’ ensures that older ways of doing things get destroyed by the new. We always expect new innovative companies to come along and shake up the world of technology, but when the giants of technology start shaking the ground through their own mistakes and errors many would suggest that they deserve to suffer.
Broken TV

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