NEC 2010 Annual Report Download - page 22

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09 10
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20
–20
docomo STYLE series™
N-01B: a slim mobile
phone featuring a French
nail polish design
Integrated audio-visual PC
VALUESTAR N
FISCAL 2010 PERFORMANCE AND
MAIN ACCOMPLISHMENTS
Business segment sales declined 13% year
on year to ¥737.7 billion. This was mainly
attributable to decreased sales of mobile
handsets in Japan, as well as a drop in
Japanese PC sales due to the impact of
restrained corporate IT investment and falling
prices, primarily in the first half of the fiscal year.
The segment posted operating income of
¥18.9 billion, an improvement of ¥33.0 billion from an
operating loss in the previous year. This mainly
reflected reductions of fixed costs and other expenses,
and more efficient spending on development costs.
In the field of mobile handsets, NEC introduced new
models with enhanced functions, including advanced
camera functions and waterproof features. In addition
to this functionality, NEC also rolled out new models
with outstanding design features such as collaboration
models with designers and brands.
As for PCs, NEC rolled out new Windows 7®-equipped
models with functions that are the first of their kind in
the industry, including an integrated audio-visual PC
featuring enhanced video and audio features, and a
model that allows wireless viewing of three types of
digital broadcasting*1. For enterprises, NEC launched
PC models reflecting market needs, including an
eco-friendly model featuring sharply reduced power
consumption and a model with a standard five-year
guarantee for reliable use over extended periods of
time. As a result, NEC’s PCs held on to the top share
of the Japanese market*2. In addition, Internet service
“BIGLOBE” developed new businesses targeting the
cloud computing era, and in display solutions we
achieved steady sales expansion primarily overseas.
FOR FURTHER GROWTH
NEC’s mobile terminals business was integrated with
Casio Hitachi Mobile Communications Co., Ltd. in June
2010. Looking ahead, by combining their advanced
technological development and product planning
capabilities, we intend to capture synergies as we
launch attractive new products in the global markets.
Furthermore, under the “C&C Cloud Strategy,” NEC
is bringing a terminal device to the market that lies
between PCs and mobile phones and links users and
cloud services. By taking full advantage of its 7-inch
screen, we will propose this device to enterprises
who are planning to provide vertically integrated
services including terminal devices in fields such as
electronic books, education, electric power and
housing. In this way we aim to develop a new business
model for providing everything from systems to
terminal devices together.
*1 Terrestrial digital, BS and 110 degree CS broadcasting
*2 Based on fiscal 2010 sales volume ranking
Source: IDC Japan, Japan Personal Computing Quarterly Model
Analysis, 2010Q1
PERSONAL
SOLUTIONS
BUSINESS
SALES
(Billion ¥)
OPERATING
INCOME (LOSS)
(Billion ¥)
21 NEC Corporation
Annual Report 2010