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Q1: Why I place such importance on Sony's Purpose

―――You presented Sony's corporate strategy around the axis of our Purpose. Please could you share the reasons why you continue to place the utmost importance on this Purpose?

Yoshida: In short, it is because our employees and corporate culture are my most important priority. From the perspective of employees, it is a question of whether Sony is able to inspire their passion and be a fulfilling part of their lives. To put it another way, it is a question of whether they can identify with Sony's Purpose. Our Purpose is our societal reason for being, and I believe that each of us hope to make a contribution to society in some way. And our corporate culture provides the foundations, in the context of business management, for us to execute our activities. Our ability to execute is generated by the passion of our employees, and by having a corporate culture of sharing and collaboration. Our Purpose is the foundation of our execution and the basis of our corporate culture.

―――So you place such importance on our Purpose because the passion of Sony's employees and our corporate culture are vital. Is there anything else you would like to convey in terms of our Purpose, or taking a long-term view?

Yoshida: I would add that part of the challenge that this Corporate Strategy Meeting presented for me, was to be able to convey our corporate strategy in the context of Sony's Purpose. In other words, you could say that it was a verification process for how closely our Purpose, or societal reason for being, could be transposed into the real world and society.

Q2: What does it mean to connect to 1 billion people?

―――Currently, Sony is directly connected to about 160 million people in the world due to their desire to consume entertainment. You said that you want to expand this number to 1 billion. What is the significance of connecting with these 1 billion people?

Yoshida: Connecting to 1 billion people represents our vision for DTC (Direct-to-Consumer), a focus area in terms of investment towards growth. I would first like to emphasize that in the case of Sony's DTC services, the overarching concept they are based upon is our Purpose.
Sony cannot fill the world with Kando (emotion) on its own, and ultimately we need to collaborate with distribution partners. Take Demon Slayer: Kimetsu no Yaiba ‒ the Movie, which has been seen by more than 40 million people (**) worldwide. I think this a great example. It would not have been possible for us to deliver this magnitude of Kando without our partners, in the form of movie theaters. For both Music and Pictures, our digital distribution partners are without question a hugely important presence, and we will continue to value our relationships with them going forward. Therefore, our DTC vision of 1 billion people is not about doing everything ourselves, in a vertically integrated structure. It is about fostering the types of "Communities of Interest" that we have cultivated until now, and doing what we can ourselves as Sony, within this broader landscape.
There are many "Communities of Interest" across the Sony Group, including our anime DTC, Funimation, Fate/Grand Order (FGO) mobile service, and SonyLIV, our DTC service in India which is rooted in local culture.

―――So our Purpose is an overarching concept, and the vision of DTC to meet this Purpose is reaching to 1 billion people.

Yoshida: Yes, that is correct.

―――Within this vision for DTC of 1 billion people, which communities do you have the greatest expectations for?

Yoshida: Within this vision of 1 billion people, I am expecting the most from PlayStation™Network (PSN™), which is the largest "Community of Interest" we have in the Sony Group. PlayStation has become our largest community connecting Sony directly to users. I believe we can further increase this community by enhancing the social experience for users through games themselves, the PSN™ service, and mobile applications. I have also high expectations for expanding our user base, for instance through new initiatives in mobile, including cross platform play.

―――So, PSN™ represents a community directly connecting Sony with users. Of course, Sony is also engaged in many activities connecting it directly with creators, so what are your expectations for these areas?

Yoshida: SMEJ (Sony Music Entertainment Japan) is increasing its interaction with creators through social. Specific examples include YOASOBI at SMEJ, while at SME (Sony Music Entertainment) there is the recent acquisition of AWAL and the ongoing initiatives at The Orchard.

Q3: What is needed to strengthen collaboration between our diverse businesses?

―――At the Corporate Strategy Meeting, you repeatedly emphasized the importance of strengthening collaboration. Sony has long been comprised of diverse business units, but I also sense that collaboration between each business has become much stronger than before. What have you focused on, in order to enhance collaboration?

Yoshida: The areas that I have focused on the most have been the team, our corporate architecture, and our Purpose. Consistent to all of these, is the importance of communication. Ultimately our corporate culture is vital for collaboration, and I believe that our Purpose forms the basis of our corporate culture. We established our new corporate architecture in April, connecting and aligning all of our businesses in an equidistant manner. As a result, I firmly believe we now have a structure for collaboration in place. The message I continually share with the management team is that Group collaboration in and of itself is not the target. Our goal is to create value: value for creators and value for users.

―――That means, we are strengthening collaboration so that we can create value?

Yoshida: Yes, that is correct. The ultimate goal is to create value, and collaboration is the means for us to do this.

―――When I first joined Sony, for a long time there was an emphasis on achieving group synergies from the perspective of hardware and software. How do you view this now?

Yoshida: Of course hardware and software, or technology and entertainment are closely intertwined, and collaboration between the two will continue to be an important priority going forward. At the same time, now that the Sony Group has shifted to an entirely flat structure, I believe that we are better positioned to make objective decisions, based on which company has the most potential to generate value given the specific circumstances. I think that's why are seeing the emergence of synergies, for instance between multiple IPs (Content IP); between DTCs; and in particular examples such as the Uncharted movie between Pictures and Game.

Q4: Why did Sony create VISION-S?

―――Regarding VISION-S, given that you have no current plans for mass production, why is Sony engaged in this area? What types of Sony technologies do you believe can contribute to the evolution of mobility?

Yoshida: We will continue to develop VISION-S as an exploration area, as part of our contribution towards the evolution of mobility. At Sony, we have leading expertise in technologies such as imaging and sensing. I believe these technologies can make a significant contribution to vehicle safety, so we should deploy them proactively.
Recently, we collaborated with Vodafone in Germany to verify the viability of 5G communications while driving. Through these tests we were able to confirm that mobile technology will be integral to the future evolution of mobility, and that there are many instances where it can play a prominent role. As mobility evolves, I think that ultimately it will take the form of autonomous driving. At that stage, I think we can say that the mobility space will have evolved into a new space for entertainment.
I believe that as autonomous driving evolves, this will create a new entertainment space. This will also create opportunities for some of our other technologies such as 360 Reality Audio, and Remote Play for PlayStation.

―――The road tests with Vodafone are those that were announced to have started in April. And would you say that 5G, where automotive systems and cloud technology aligns, is also an area where the insight and knowhow Sony has gained through Xperia comes to the fore?

Yoshida: To my knowledge, there are not many examples of road tests being carried involving vehicles equipped with 5G technology. That is why, as I mentioned earlier, I believe the technologies we accumulated through Xperia including antennas, RF and communication technologies, will also play a key role in the future of mobility. Without question cars in the future will be connected. What this connectivity means is that the vehicle will continue to evolve after the customer has purchased it. From that perspective, communications technology, and cloud technology will be imperative.

Q5: Sony's contribution in the area of sustainability

―――At the Corporate Strategy Meeting, you also touched the areas of people, society and the environment. Ever since your appointment as CEO, you have communicated a message of "Sony and the Planet Earth," both internally and externally. Once again, what are the key initiatives Sony is taking to contribute to the area of sustainability?

Yoshida: It is my strong personal belief that the Earth is an important stakeholder for any company, and it is vital that we as a company fulfill our responsibility and contribute to reducing our environmental impact on this valued stakeholder. In order to fulfil our responsibility, we must effectively execute initiatives such as the Road to Zero environmental plan, and RE100. In terms of our contribution, this includes decentralized sensing technologies, and the contribution we can make to mobility that I mentioned earlier.
We have also established SynecO, whose business is dedicated to environmental technologies related to augmented ecosystems. I am very excited by SynecO's initiatives to enrich diversity through Synecoculture, and improve the environment. Our trials in West Africa have shown that Synecoculture can invigorate desertified land. Creating value through diversity, is in many ways very closely aligned with how Sony seeks to create value through the diversity of its employees and businesses, so I have very high expectations for Synecoculture in the future.
Looking to the future I believe it is vital for us to consider the responsibility Sony can fulfil, and the contribution Sony can make, to our important stakeholder, the Earth.

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