January 26, 2016 - 15:51 AMT
Sony combines PlayStation division with Network Entertainment

Sony announced Tuesday, Jan 26, that it is combining Sony Computer Entertainment (SCE) — the division that creates the company’s PlayStation hardware — and Sony Network Entertainment, which runs the PlayStation Vue streaming TV and the PlayStation Store, into a single business unit, The Next Web reports.

The new firm, Sony Interactive Entertainment (SIE), will be headquartered in San Mateo, California, and kick off operations on April 1. It will be headed by president and global CEO Andrew House.

Until now, SCE was headquartered in Tokyo. The announcement will see the Japanese company move base to the U.S., where its subsidiary SCE America has its head office.

Users of PlayStation apps and consoles will likely not notice any changes in its services, TNW says.

The move comes almost a year after Sony spun off its audio and video business into a wholly owned subsidiary. Two years ago, the company sold its Vaio PC brand. The restructuring could be a sign that the company wants to hunker down on one of its few remaining profit-making divisions, TNW says.