DYNABOOK has become a wholly owned subsidiary of sharp as a result of the completion of the transaction, Toshiba said in the statement
According to the public information, Toshiba is the largest semiconductor manufacturer in Japan and the second largest comprehensive motor manufacturer in Japan. It belongs to Mitsui Group, and its business fields include digital products, electronic components, social infrastructure, home appliances, etc.
Toshiba was founded in July 1875. In that year, Mr. Tanaka, who made clocks, set up the Tanaka Manufacturing Institute, a telecommunication machine factory in Ginza, Tokyo, and started the pioneering history of Toshiba.
Although there are few Toshiba notebook products on the market, in fact, the creator of the worlds first real notebook computer is Toshiba.
In 1985, Toshiba made the worlds first notebook computer t1100, which has rechargeable batteries, an Intel 8096 processor with a frequency of less than 1MHz, a 9-inch monochrome display screen, 720kb hard disk, 512k memory, and a size of 12 * 2 * 11 inches and a weight of 2.9kg. At first, Toshiba executives were uncertain about the future of portable computers, but eventually decided to produce and sell the t1100, which initially sold for about $2000.
Toshiba was one of the worlds top PC manufacturers in the 1990s and early 2000s when the PC industry developed rapidly. But with more and more players pouring into this market, and Toshibas unique functions are becoming less and less, Toshibas market share is gradually declining.
In the PC market, Toshibas sense of presence is getting lower and lower. When selling shares to sharp, Toshibas sales in the PC market had fallen from a peak of 17.7 million units in 2011 to 1.4 million units in 2017.
According to the Beijing business daily, Liu Yun, a visiting researcher at the Japan Institute of Nankai University, said, in fact, selling computers and other loss making businesses is not a bad thing for Toshiba. On the one hand, computer business is no longer the core business of Toshiba. Since fiscal year 2014, Toshiba has stopped retail sales in many emerging market countries, and continues to sell B2C computer products only in Japan and North America.
Toshiba is in deep financial trouble
As the founder of the worlds first notebook, Toshiba has been reduced to this stage of the field, behind which is a huge fund deficit.
Source: CCTV finance and Economics
According to titanium media, in fact, Toshibas bad luck began in 2014. Toshiba cut about 900 jobs worldwide in fiscal 2014 due to losses in its computer business.
In 2006, Toshiba hoped to enter the nuclear power industry through the acquisition of Westinghouse Electric Company of the United States. At that time, Mitsubishi and Hitachi also had plans to bid. In order to compete with its peers, Toshiba increased capital investment in the bidding process, and finally won Westinghouse Electric with a three times premium of $5.4 billion.
According to Toshibas financial report, its net loss in fiscal year 2016 (as of March 31, 2017) was as high as 965.7 billion yen, about 36.2 billion yuan, which was the largest annual loss in the history of Japanese manufacturing enterprises at that time.
In November 2015, Toshiba was also found to have made false accounts: in the past seven years, the company falsely reported a pre tax profit of 224.8 billion yen (about 14.8 billion yuan), more than 30% of the pre tax profit in these seven years.
Japans securities and Exchange Commission fined the company more than 7 billion yen. That year, Toshiba confirmed that the consumer electronics department would lay off 6800 employees, about 30% of the total number of employees in the Department.
Toshiba has sold a number of businesses in recent years to fill the funding gap.
In 2016, Toshiba sold its medical equipment business to canon for 665.5 billion yen (about 44 billion yuan). In the same year, Midea acquired 80% of Toshibas white appliance business for 51.4 billion yen (about 3.4 billion yuan).
In November 2017, Toshiba announced that it would sell 95% of its TV business subsidiary to China Hisense Group at a price of 12.9 billion yen.
In June 2018, Bain Capital led consortium completed the US $18 billion acquisition of Toshiba memory Co., Ltd. (TMC).
In December 2019, Sony announced that it had bought Toshibas image sensor business for 19 billion yen (about 989.9 million yuan).
On June 22 this year, Toshiba announced that the company had no strategic intention to stay in the storage market, so it would gradually realize its shares in kioxia to ensure the companys earnings.
The curtain of company reform has begun
As early as February 2018, Toshiba announced a personnel change. Toshibas naming committee decided to appoint Nobuaki kurumatani as CEO and chairman of the company.
After taking office, Chegu began to liquidate the negative assets. First, it was to withdraw from the overseas nuclear power market. After that, the LNG business was sold to total, a French energy company, at an ultra-low price of 1.7 billion yen (about RMB 110million). The computer business was sold to sharp for 4billion yen (about 264million yuan). Meanwhile, Toshiba announced its withdrawal from the mobile phone market.
In addition, in order to strengthen its business base, Toshiba increased its self capital ratio to 30% and realized debt free operation. On June 5, 2020, Toshiba released its final accounts report for the year 2019 (to March 2020). Although Toshiba suffered from the impact of the new coronavirus epidemic, the operating profit of Toshiba company soared four times over that of 2018, reaching 130.5 billion yen (about 8.6 billion yuan). It is understood that in the future, Toshiba group will focus on energy, environment, intelligent city and other fields to transform into an all-round service-oriented enterprise. After adjusting the business strategy, whether Toshiba can usher in a new round of development remains to be seen. Editor sun Zhicheng, Du Bo, Wang Jiaqi, daily economic news comprehensive CCTV finance and economics, titanium media, Beijing Business Daily_ NF4368
In addition, in order to strengthen its business base, Toshiba increased its self capital ratio to 30% and realized debt free operation.
On June 5, 2020, Toshiba released its final accounts report for the year 2019 (to March 2020). Although Toshiba suffered from the impact of the new coronavirus epidemic, the operating profit of Toshiba company soared four times over that of 2018, reaching 130.5 billion yen (about 8.6 billion yuan).
It is understood that in the future, Toshiba group will focus on energy, environment, intelligent city and other fields to transform into an all-round service-oriented enterprise. After adjusting the business strategy, whether Toshiba can usher in a new round of development remains to be seen.
Editor: Sun Zhicheng, Du Bo, Wang Jiaqi
The daily economic news integrates CCTV finance and economics, titanium media and Beijing business daily