Sony to compete head on with iPhone and Galaxy S III

Sony has got the tech world excited by promising that it will unveil a smartphone at January's Consumer Electronics Show (CES) that will rival the iPhone.

"We will create in the near future a flagship Sony model that can compete with Apple's iPhone and Samsung's Galaxy S III," said Dennis Van Schie, head of Sony Mobile's sales and marketing, in an interview with the German-language version of the Financial Times.

In the interview, Van Schie also accepted that until now, the company didn't have a worthy competitor to the market leaders but promised that was about to change. He also claimed to be keeping a close eye on the development of Windows Phone 8, stating that Sony would not be "caught off guard" if the platform gains significant market share.

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