What's even stupider is that next year will be a lot better because Sony have moved to reduce their fixed cost base by cutting 2000 jobs and they still will barely be making a dent in the market. I have Sony at about $500m for next year, maybe slightly higher now that the Z4 is going to have it's whole life in the next financial year rather than a March shipment like the Z2.
Android is not good for companies who want to make money, it is only good for Google.
The aim, IMO, should be to sell 40-50m devices per year in the $500-600ASP range and not bother with the low and mid-range at all. Concentrate all of their marketing resources at the high end with three phones (compact, main and ultra) and three tablets (compact, main, ultra) per year. Have them all run on the same internal hardware so that the software team can concentrate resources as well.
There is literally no money for anyone in the mid/low sectors when Chinese companies can buy up MTK based boards for $10 and wrap them in plastic with a cheap screen on the front.