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Sony Recalls Batteries

In the continuing saga of the Sony-manufactured battery recall, Sony announced today that the company would be recalling some 300,000 batteries. Affected notebooks are certain models of the company’s Vaio PCs in Japan and China. The battery model VGP-BPs2B was manufactured for sale in China, and the impact on US consumers should be negligible. Another battery model, VGP-BPS3A was manufactured for sales in Japan and overseas, and some US consumers may be affected by the recall of these batteries. Plans to widen the recall to batteries sold in countries worldwide were not finalized as of this morning, but a further recall can be expected. Sony is now the seventh company to recall or exchange laptop battery packs manufactured by one of their subsidiaries. Like the other companies the batteries in this new recall are thought to contain metallic particles which could short circuit and cause severe overheating or fire under certain circumstances.

The financial impact of this series of battery recalls is starting to have a telling effect on the company. Sony’s projection as of August for the cost of recalls was between $167 million and $251 million. With the announcement today of Sony’s recall also comes an announcement that the company may have to revise its profits forecast for the year. This has been partly blamed on the battery recall.

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