Bangalore: Sony is heading to a split that will disintegrate its TV and PC divisions into separate entities. This move is largely believed to be due to lower than expected earnings last year. The company has decided to implement investor Daniel Loeb's suggestions. However, a $1.1 billion annual loss is expected when the Tokoyo based company sells its PC business. It may later divest its TV division as well. Although not all the suggestions of Loeb are implemented, the process has started. This move saw an 11 percent increase in company’s shares last week as reported by Economic Times.

Lawrence Haverty, a fund manager at Gamco Investors said, "I like the idea of first things first and one step at a time. There's an awful lot of really encouraging stuff that's happening." The U.S. investment advisor oversees 47 billion and owns Sony’s shares. However, Hudson Square Research which is a similar institutional equity research boutique opined that more changes are needed and suggested spinning off a portion of Sony Entertainment. 

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