Toshiba Appliances Retreat

Toshiba president Masao Muromachi announced recently that it is exploring plans to merge with Sharp's white goods business such as washing machines. Previously, Kyodo News reported that Toshiba is exploring plans to merge with Fujitsu and VAIO in the personal computer business.

Around Toshiba’s financial fraud, Japan’s Toshiba Corporation intends to claim a total of more than 1 billion yen (approximately US$8.1 million) from the five former executives who participated in the fraud. Under the influence of financial fraud scandals, Toshiba’s complete withdrawal from TV production has become a foregone conclusion. In addition to selling overseas factories, we must also consider exiting domestic TV sales. Toshiba's adjustment is thorough, including the provision of the "REGZA" brand to other companies. A series of issues and business adjustments have already surfaced Toshiba's intentions in the appliance business.


Toshiba’s television business has been in a state of deficit for a long time. Toshiba announced in January this year that it stopped the development and sales of televisions in overseas markets. From that time onwards, Toshiba’s internal research began to withdraw from TV production. However, Toshiba will retain TV sales in the Japanese market, and production will be commissioned by companies such as Compal Electronics.

In addition to television, there will be hundreds of layoffs in the white goods business, such as the downturn in computers and refrigerators, to step up efforts to improve profitability. It is reported that this factory also manufactures televisions and personal computers in addition to white clothes such as washing machines and refrigerators.

At the same time, sources revealed that Toshiba is negotiating with Skyworth to sell its white power manufacturing facility in Guangdong, China, to Skyworth.

At present, Japan’s home appliances have not performed satisfactorily in the Chinese market. Sanyo and Sharp previously sold their Chinese domestic business to Haier, Changhong, etc., reducing expenditures and retaining the brand to some extent.

It is reported that Toshiba’s future operating resources will be concentrated on business-oriented businesses such as nuclear power. For the semiconductor business, Toshiba has decided to solicit about 1200 people to retire early and make sector adjustments in an effort to streamline operations through further layoffs.