- Personal computer maker Vaio Corp. is in final negotiations for a three-way merger with Toshiba Corp.’s and Fujitsu Ltd.’s PC divisions, according to a Bloomberg report.
- The negotiations, expected to wrap up by the end of March, could help the companies save money by consolidating research and development as well as production.
- Vaio would likely own the largest stake in the partnership, which would create a PC producer that could encroach on NEC Lenovo’s currently dominant market share, Bloomberg reports.
Vaio, Toshiba and Fujitsu reportedly have been considering a merger for months, but now it appears the Japanese companies are close to striking a deal. By working together, the three Japanese producers could create a PC that has more broad market appeal. With consumers constantly turning to smartphones or tablets for their computing needs, PC makers have struggled to stay profitable as their markets shrink.
Even Lenovo, the world’s largest PC maker, has struggled. In the last quarter of 2015, it saw its revenues decline by 8%.
In January, research firm IDC said that global shipments of personal computers dropped more than 10% compared to the prior year, the largest decline since the firm began tracking shipments. As the market has continued to shrink, leaders in the field have recommended that PC companies consolidate to improve their returns and stay afloat in the market.