As reported by Reuters, Toshiba has decided to no longer produce TV’s for the U.S. market. Toshiba has struck a deal to license their brand to Taiwan’s Compal Electronics who will handle TV production for the U.S. It’s expected that Toshiba will also begin pulling out of additional global markets in the near future. They will continue their TV business in their native Japan.

 

Toshiba’s lack of attendance at this years CES was a clear indication that something was amiss. Toshiba has struggled in recent years to compete in the global TV market. Harsh price competition has slowly drained their TV division of profitability resulting in Toshiba’s current dilemma.

 

The deal with Compal will become effective in March of this year and Toshiba is expected to work on global licensing agreements thru April. Toshiba isn’t the only manufacturer who’s TV division has suffered in recent years. Sony’s recent woe’s has forced them to spin off their TV division into its own separate entity. Toshiba now joins Hitachi, Pioneer and Mitsubishi who have also exited the highly competitive TV market in recent years.

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