Toshiba to Resume 2G Sales in EU

Toshiba Corp. is to reintroduce 2G mobile phones in the European market in October to benefit from strong local demand for such handsets, the Nihon Keizai Shimbun reported, citing company sources. Toshiba has been overhauling its overseas cell phone business as part of efforts to reduce losses from the handset division. In fiscal 2004, the company withdrew from the 2G handset business in North America and China because of poor local sales.  

To cut production costs, Taiwanese manufacturers will handle the software development, parts procurement and production, except for the design work which will be done in Japan.

In the year, it also stopped supplying handsets to AudioBox Communications on an OEM basis and terminated its capital tie-up with the leading mobile phone distributor in the US.

Source: AFX via Forbes