Toshiba cuts jobs, exits European consumer laptop market

Posted on Monday, Dec 21 2015 @ 12:03 CET by Thomas De Maesschalck
Toshiba logo
Japanese conglomerate Toshiba announced it will refocus its business. The firm is hit by a $1.3 billion accounting scandal and expects a net loss of around 550 billion yen ($4.53 billion) for the fiscal year ending in March.

Over the next couple of months, Toshiba will lay off 6,800 jobs in its lifestyle division, which makes products ranging from PCs to TVs and household appliances, and will refocus its business on chips and nuclear energy.

The full "revitalization" plan is explained in this PDF. For the PC market, the main change is that Toshiba will concentrate on a smaller, more profitable, business-oriented product portfolio. Consumer laptop sales will concentrate on the Japanese and US market, meaning others markets like Europe will be dropped.

Reuters reports the restructuring was long overdue as Toshiba is struggling to compete with lower-priced Asian rivals:
Analysts have said restructuring was long overdue. The company launched the world's first mass-market laptop in 1985 but has seen its consumer electronics business dwindle amid price competition with Asian rivals.

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.

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