Categorized | Companies, US

Toshiba And HCL Breakup

Toshiba PC and HCL have severed their 25 year old ties. The Japanese electronics giant has broken a 25-year exclusive alliance with HCL Infosystems.

George Paul, VT at HCL, said this break up is only regarding the laptop product distribution and HCL Infosystems would continue to be the leading distributor for Toshiba in India.

The officer also remarked that he doesn’t see any impact on revenues from the Toshiba breakup. (Of course he is going to say this).

The difference is, earlier if any body wanted to buy the Toshiba laptop, they could do it only through HCL. But now Toshiba would provide its laptops for sale through multiple vendorss.

As to why the exclusivity contract was broken, I think HCL was not getting the numbers Toshiba would have liked to see. By going with multiple vendors, Toshiba hopes to increase the sale numbers.

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