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Sony expected to slash 10,000 jobs

Elimination of 6 percent of the electronics and entertainment giant's workforce expected to help return the troubled company to profitability.

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Steven Musil is the night news editor at CNET News. He's been hooked on tech since learning BASIC in the late '70s. When not cleaning up after his daughter and son, Steven can be found pedaling around the San Francisco Bay Area. Before joining CNET in 2000, Steven spent 10 years at various Bay Area newspapers.
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Kazuo Hirai, who took over as Sony CEO on April 1, may announce job cuts on Thursday. Stephen Shankland/CNET

Sony is expected to cut 10,000 jobs, or about 6 percent of its global workforce, by as early as the end of the year, according to a Nikkei report.

The Japanese business newspaper also reports (subscription required) that seven executives -- including chairman and former CEO Howard Stringer -- may be asked to forfeit their bonuses. The report comes on the heels of the electronics and software giant recording a loss of 260 billion yen ($3.2 billion) for the 2011 fiscal year.

Half the workforce reductions would come from consolidating the company's chemicals and LCD businesses, the report said.

Kazuo Hirai, who took over as Sony's chief executive on April 1, is scheduled to host a special company event on Thursday to outline his strategy for the coming years. While job cuts may be on the agenda, Hirai is also likely to use the event to focus on his "One Sony" initiative -- the three "core pillars" of which will be digital imaging, gaming, and mobile.