June 20, 2023
A few days ago, FCNT, a smart phone manufacturer independent of Fujitsu Group, issued a press release announcing that it had applied to the Tokyo District Court on the day of press release for the application of Japan's Civil Reproduction Law (Bankruptcy Law), and accepted it on the same day, and will start bankruptcy protection procedures.
For the reasons for the bankruptcy, the Japanese smartphone manufacturer said that due to the intensifying competition for smartphone sales, coupled with the weakening yen, the global chip shortage and other factors led to a surge in profits, resulting in a sharp deterioration.
FCNT is a separate smartphone manufacturer from the Fujitsu Group that sells arrows branded smartphones. Since its inception in 2000, Fujitsu Connected Technologies, the predecessor of FCNT, has been providing mobile terminal planning, development, sales, maintenance, and social networking services for the elderly. In addition to FCNT, the bankruptcy filing also includes FCNT's parent company REINOWA Holdings and smartphone manufacturing subsidiary Japan EMSolutions (JEMS).
According to Bloomberg, Japan's largest credit research firm Teikoku Databank (TDB), the three companies were established in January 2018 to operate the mobile phone business when Fujitsu sold its mobile phone business to Polaris Capital Group, an investment fund. FCNT would be the first major Japanese smartphone maker to file for bankruptcy.
TDB pointed out that the combined debt of the above three companies is about 143.106 billion yen (equivalent to about 7.272 billion yuan). Among them, FCNT debt of about 73.36 billion yen, JEMS about 36.79 billion yen, REINOWA Holdings about 32.956 billion yen), for the largest bankruptcy case in Japan this year.
Looking back at the past due to the market closed and unique and thriving Japanese mobile phone industry, it seems that in addition to SONY, almost "all destroyed", including Panasonic, Toshiba, NEC, etc. have announced their withdrawal from the mobile phone market, Sharp was taken by Foxconn, Fujitsu's mobile phone business was sold to a capital company. After Mitsubishi, Sharp, Toshiba, NEC, Fujitsu and other manufacturers have abandoned or sold their mobile phone businesses, there are not many local mobile phone manufacturers left.
This article is from the official website of FCNT Bloomberg International electronic business situation.
