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On Tuesday, Japanese electronics giant Sony announced that it has efforts underway to shift all its PlayStation-related operations to San Mateo, California. The announcement implies that a major shift is on the cards for the Sony PlayStation division in the coming months.
According to Sony's announcement, the Sony Computer Entertainment and Sony Network Entertainment International businesses will be amalgamated into one single business in April 2016. The new company created as a result of the move will be called Sony Interactive Entertainment LLC.
According to the details disclosed by Sony, the new Sony Interactive Entertainment LLC business will report to Sony in Japan, but will be headquartered in San Mateo. Sony also said that the "key global business operations" of Sony Interactive Entertainment LLC will be carried out in Tokyo and London.
In reference to the decision to combine the business strengths of Sony Computer Entertainment and Sony Network Entertainment under a new company with a single focus, Sony said that the move is rooted in constantly-evolving market environments of hardware, software, content and network services.
With Sony claiming that the imminent creation of the new Sony Interactive Entertainment LLC will pave the way for intensified focus on Web-based game services and streaming, Tim Bajarin -- chief analyst with Campbell-based Creative Strategies -- said that, strategically, it makes "a great deal of sense" for Sony to merge its Sony Computer Entertainment and Sony Network Entertainment businesses.