TOKYO (AP) — Japan’s top chipmaker Toshiba said Wednesday it will end production of mobile phones in Japan due to plummeting demand amid an economic slump.
The company said its only domestic plant for mobile phones will halt operations in October. Toshiba’s revenue for mobile phone business nearly halved to 140 billion yen ($1.5 billion) in the fiscal year ended March 2009.
Consumers are reluctant to buy new mobile phone handsets amid an economic downturn. The Japanese mobile phone market was really hit hard by the ongoing economic slump,” Toshiba spokeswoman Yuko Sugahara said.