Panasonic to reign in digital camera production next year

Brittany A. Roston - Nov 29, 2013, 6:59 pm CST
Panasonic to reign in digital camera production next year

Back in March, news surfaced that Panasonic would be pulling out of the plasma TV business, something that was substantiated by sources who spoke to Reuters back in October. In line with its efforts to cut down on businesses that prove unprofitable, the company will be making some drastic changes to its digital camera division in 2014, as well.

The information comes from the Nikkei, which has reported that Panasonic Corporation will be halving its compact digital camera output next year. The total number of compact digital cameras released next year will be five, which is half of what the company released this year. Such a move is an effort to make the division profitable.

There’s not much information about the cameras at this point, but according to Nikkei, the cameras will be priced at a minimum of $300 / 30,000 yen, and will have features like high zoom rates, and there were will be a focus on single-lens mirrorless models. While the changes will follow closely with changes to its plasma TV division, it won’t stop this fiscal year’s nose dive.

Panasonic expects this fiscal year that it will end up with 2 million less units sold, taking the overall total down to 4 million. This is expected to be the company’s second year in a row of digital camera business losses. According to sources that surfaced in October, the plasma TV business will be dropped by March 2014.

SOURCE: Reuters

Must Read Bits & Bytes