And now for some news that can be taken both well and incredibly sad…
According to Bloomberg and 43Rumors, Panasonic is currently citing a massive profit increase due to restructuring of the company. Essentially what they’ve done is what any other company would do when they’re not surviving–trim the fat! Combined with layoffs, part of this is attributed to getting rid of emphasis on things that aren’t profitable for the company like Plasma TVs. Bloomberg states,
“President Kazuhiro Tsuga, in his second year at the helm, is pivoting toward products for cars and homes as he accelerates changes to recover from back-to-back annual losses. Panasonic suspended plasma panel production, trimmed smartphone and circuit board operations and sold a stake in semiconductor factories to focus on growing businesses.”
What the articles aren’t really citing though is a report from the Credit Suisse earlier on this year that states that Panasonic recently sold off 51% of its Imaging Division. In fact, the company has given them until March 2016 to become profitable or else they get the axe. That means that within the next two years, we need to start seeing some seriously game changing technology from Panasonic. This will be a tough task overall for the Four Thirds industry as Panasonic needs to work with Olympus to become a stronger force in the industry. Micro Four Thirds has the most market share in the mirrorless industry, but the offerings that we’re seeing from Fujifilm and Sony are both taking massive Great White Shark sized bites out of them.
Panasonic has also changed up a lot of their game plan–with mostly trying to cater to pros and those reaching for higher hanging fruit.