Lexmark axes its inkjet printer division

Posted on Wednesday, August 29 2012 @ 22:28 CEST by Thomas De Maesschalck

Lexmark announced it will shut down its inkjet printer business, and focus on its laser printer and print services businesses. The firm is having a hard time in a market dominated by HP, Canon and Epson, these three firms combined command roughly 90 percent of the market. Spending on inkjet printers is also falling due to a change in consumer behaviour, people are sharing more online and printing less due to the rise of smartphones and tablets.

The company will cut 1,700 jobs in the process, and also plans to completely stop selling ink by 2015.

"Today's announcement represents difficult decisions, which are necessary to drive improved profitability and significant savings," explained Lexmark CEO Paul Rooke.
The company is also looking to raise additional cash by selling its inkjet patents, it added.

...

Lexmark said it expects to accrue annual savings of $95m from the closure of its inkjet business through job cuts, factory closures and mothballing its development facilities.

Source: The Inquirer

About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

Loading Comments

Share this story!