Consider Sony and Apple – in many ways, two similar companies: both span both the computing and CE spaces, both have intimate connections to a major studio (Sony Pictures and Disney, respectively), and both adhere to closed-end vertical silo business models.  Granted, Sony doesn’t write their own operating systems, and unlike Apple TV, the current Sony internet-video-to-the-television box (the Internet Video Link) is partnered with 3rd party services such as Amazon’s Video on Demand – but in other ways Sony represents more of a closed ecosystem than Apple: while the Apple TV will work with any HDMI-equipped TV, the Video Link will only work with Sony Bravia televisions – and while iTunes is platform-agnostic, Sony’s previous ill-fated internet TV device from a few years back (the Sony Room Link) demanded not only a PC, but a Sony Viao PC.

This past week saw some news from both companies:

• Sony announced an expected $US 2.9b operating loss for 2008
• Apple recorded a year-over-year revenue increase of over 6% for the most recent quarter – and this despite the historically horrendous macroeconomic climate of the past few months



It’s an ongoing debate among those of us who think about consumer electronics and technology: closed proprietary platforms vs. open standards-based platforms.  Stability and elegance on one hand, lower costs and increased innovation on the other – two entirely different paradigms.

In addition to their numerous other circumstantial similarities, Sony and Apple both subscribe to the former – so maybe it’s not about the intrinsic advantages of a closed or open technology model (or other factors, for that matter) as much as it’s about the quality and desirability of the product.