Another smartphone company exits the consumer industry
Just as HTC announced the revival of its U series phones, another company says it will be bowing out of the consumer smartphone market. However, it won’t be giving up on making smartphones entirely.
In a report from the Japanese publication Nikkei , Kyocera announced it is waving the white flag on its consumer smartphone business. This announcement was made during a financial results briefing for the end of the fiscal year.
As to why the company is giving up on consumer smartphones, it appears to be related to high costs and an inability to make a profit, according to a Google-translated quote from President Hideo Tanimoto. “The [spread] of high-speed communication standard ‘5G’ will raise the cost of terminals,” said Tanimoto. “We decided to withdraw because we could not make a profit.”
The outlet points out that the company doesn’t disclose sales figures for its mobile phone business. However, it’s believed that when the fiscal year came to a close, half of its total sales were to consumers and the other half to corporations.
Kyocera won’t be totally abandoning its phone business, however. Instead, the company will reportedly shift its focus strictly to the corporate side.
We will shift our focus to corporate smartphones, etc., where we can easily demonstrate our strengths in maintenance and operation support, and try to rebuild.
Tanimoto also mentions that some of its consumer models that are used in conjunction with corporate customers will still be supported. This new development will mark the end of a nearly 35-year run for the company in the consumer handset market.
Source: Android Authority
