NEC to pull plug on Packard Bell

NEC is looking to exit the European PC business, meaning the potential demise of the Packard Bell brand.

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NEC is looking to exit the European PC business, meaning the potential demise of the Packard Bell brand.

Japanese company NEC sells its PCs in Europe under this brand, and it has confirmed it is in talks with a third party to dispose of the business.

IBM sold off its PC business to China’s Lenovo around a year ago, illustrating the ever tighter margins PC manufacturers are working to.

Last year, UK-based Time Computers went bust, and fellow UK firm Elonex went into administration earlier this month.

Analyst Gartner estimates NEC is the world’s seventh-largest PC firm, with market share of almost 3%.

Packard Bell has subsidiaries in the UK, Spain, France, Italy, the Netherlands and Belgium. There has been no word on whether any sell-off will lead to redundancies.

Jobs may well be lost if the operation transfers lock-stock-and-barrel to somewhere like China, where costs are lower to cope with tight margins.

 

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