The story seems to have been largely missed, but Philips Electronics NV is planning to pull out of the personal computer business as part of its latest restructuring, which will see 5,000 jobs go from its consumer electronics operations worldwide this year, Het Financieele Dagblad reported. The cuts are equivalent to 9% of the divisional workforce. The paper says Philips presented its plans to analysts only hours after the presentation of its 1992 annual results almost three weeks ago. The Eindhoven company plans to scrap 20% of its consumer electronics product range, largely from the lower end of the price range – and it will halt its personal computer activities and withdraw partially from consumer electronics in countries where margins are low. Philips said the information given to analysts should be seen as an indication of the direction being taken rather than as concrete policy. Last April, when Philips unveiled new cutbacks in its heavily loss-making personal computer production operations, the company said it would stop manufacturing micros under its own brand name in the US, but continue to produce for third parties. All personal computer production has now been halted, the company said, calling into question the future of its factory in Montreal, Canada.
