Sony is in trouble right now. They've already had to let thousands of employees go. Now they're ready to close factories in Japan and close major divisions according to the Times of London. Sony of course has denied that any such plan exists. "We do not plan to announce additional restructuring measures at this time," spokesman Atsuo Omagari said, in response to the report. "We don't have any such plan."

Sony said last month that it would cut 16,000 jobs, curb investment and pull out of businesses for savings of 100 billion yen a year, as the holidays failed to coax spending.

If this does happen, exactly what major division(s) will close? Sony doesn't have that many. There's Digital Cameras HDTVs, Blu-Ray and the games division.

I find it hard to see Sony killing the Playstation, but I also can't see them doing the same to their cameras or televisions.

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There is talk that Sony needs to do more to stem the tide of losses that many feel will come to allow Sony to continue to be a growth company. I'm not so sure that it'll happen though. They've already done a lot of cost cutting and the events that are taking place are recession based and if they can just hang-in-there the market will bounce back. They have enough cash to hang on, so I think we won't see any more cuts. But if we do, I don't think it'll be PlayStation. You'd see the PC Games division die first (Everquest) before the PlayStation brand. But Sony could kill off stuff like Sony Ericcson, their E-Book Reader (That is getting stomped by Kindle), Mylo, etc. They could even close their PC division which hasn't been keeping up much lately.

I wouldn't worry about PlayStation closing down. Not unless Sony gets purchased.