Toshiba stops developing and supplying consumer TVs worldwide

Toshiba is withdrawing from the global consumer TV market in terms of development and supply. By April this year, Toshiba plans to move globally to a structure where TVs from other manufacturers are sold under the Toshiba brand name, except in Japan.

“Toshiba plans to transform its consumer TV business in regions other than Japan, replacing development and sales with a licensing structure,” the Japanese group said. This change of strategy should be a fact by April this year and the company hopes to conclude negotiations with potential candidates who will sell their own TVs under the Toshiba brand.

North America is the first region in which Toshiba adopts the new structure. Toshiba has been targeting the market in North America with cheaper TVs in recent years, as well as restructuring to reduce costs. Under pressure from increased competition and declining growth in the TV market, the group is now opting for a licensing model. The development and delivery will be outsourced to the Taiwanese Compal from March this year.

Toshiba is not the first manufacturer to do this. Sharp TVs have been produced in Europe since September last year by the Slovakian manufacturer UMC and in the US, Panasonic TVs come from Sanyo and Funai. The TVs sold under the Philips brand are made by TP Vision.

Toshiba says it started developing TV technology in 1928. Toshiba produced its first black and white TV in 1953 and the company’s first color TV followed in 1957.