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Summary Sony Ericsson has reported a fourth-quarter loss on the back of higher costs and lower sales.
Its loss of €207 million ($265 million) compares with a profit of €8 million a year ago.Aside from weaker sales, which dropped 16 percent to €1.29 billion, Sony Ericsson said margins were also severely squeezed by intense pricing competition on the smartphone market.Sony Ericsson said Thursday it suffered from macroeconomic challenges in advanced economies, and from component shortages following the big flooding in Thailand.Swedens LM Ericsson has announced it will sell its 50 percent stake in the company to Japans Sony Corp. for €1.05 billion. The deal is expected to close in the first quarter.
