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July 26, 1990

MITSUBISHI ACQUISITION OF APRICOT IS BAD NEWS FOR ITS US MICRO ARM

By CBR Staff Writer

In the wake of Mitsubishi Electric Corp’s acquisition of Apricot Computers, its US subsidiary Mitsubishi Electric America Inc, is closing the Torrance, California personal computer assembly plant and merging operations with Mitsubishi Electronic Sales America, its sales and marketing arm in Cypress. Electronic News says that Taci Kiuchi, president of Mitsubishi Electronic Sales America, acknowledges his disappointment with the company’s attempts to gain a foothold in the US personal computer market under the Mitsubishi name. One of main problems the company faces is not having a brand name in the personal computer world, but it insists that it will remain in the market since personal computers are integral to its business. However, Mitsubishi has still to clarify whether it will continue to manufacture personal computers in the US, although it does anticipate the need for an additional 15,000 square feet of space at Cypress by next year. The US situation is complicated further the Apricot Computers: Apricot has a research and development centre in Torrance, where it is considering building 80486-based Micro Channel machines. Mitsubishi Electric says that as part of its reorganisation plans, it is merging the reshaped Mitsubishi Electronic Sales America with its semiconductor sales operation in Sunnyvale, although there are no plans to vacate the Sunnyvale location. The combined division will trade under the name of Mitsubishi Electronics America Inc.

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