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Ken Kutaragi, the developer of Sony Corp.'s PlayStation game console, stepped aside from day-to-day management of the unit after production delays forced the company to slash shipment targets.
Kaz Hirai, head of the U.S. game division, will take over as president of Sony Computer Entertainment Inc., the Tokyo-based company said in a statement today. Kutaragi, 56, will become chairman of the unit.
Sony Chief Executive Officer Howard Stringer is counting on the PlayStation 3 to revive a company that has lost almost half its market value in the past six years. Kutaragi, a 30-year Sony veteran, in September cut 2006 shipment targets by half because of parts shortages.
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