Toshiba has announced changes in its TV division to cut costs, including halving its number of staff and closing two of its three overseas TV manufacturing facilities.
Toshiba, the Japanese electronics company, has been hit with plummeting prices, slowing demand and fierce competition from the likes of Samsung and LG Electronics. The firm's digital products division, which includes TV manufacturing, saw its losses widen to 16.3bn yen (£103m) in the financial year to 31st March, compared with a loss of 3.3bn yen in the previous year.
In a statement, Toshiba said it will aim to "end sales in unprofitable regions" and focus on emerging markets such as Asia, Africa and the Middle East. The company said it plans to separate the TV business from its Digital Products & Services Company and merge it with Toshiba Home Appliances Corporation.
The company's latest reforms focus on "improving profitability and strengthening foundations of the business". The main changes will see 3,000 job cuts and integrating its overseas TV manufacturing facilities from three to one.
Toshiba has said that it will allocate resources on making large screen ultra high-definition 4K LCD TVs where it insists that "growing demand is expected". The company will also focus on reinforcing the development of digital signage as well as strengthening cloud services, which is expected to enhance the connection between digital products and home appliances.