Toshiba to buy IBM's retail Point-of-Sale business for US$850 million

A Toshiba subsdiary said the deal will close in the next few months, and IBM will continue to provide IT platform support

Toshiba said Tuesday it will purchase IBM's retail point-of-sale (POS) business for US$850 million, with the Japanese company taking over the hardware business while IBM shifts its focus to back-end software solutions.

Toshiba Tec, a subsidiary of the Japanese conglomerate that sells POS products such as cash registers and printers, said the deal is expected to close by early in the third quarter. IBM said the Japanese firm will sign a multi-year deal to become a partner in offering IBM's expanding "Smarter Commerce" platform, which aims to provide customers with a similar experience when shopping online and in-store.

The deal reflects the diverging philosophies of firms like IBM, which are focusing on software platforms and consulting services, and giant Japanese conglomerates like Toshiba that traditionally emphasize hardware and manufactured goods.

IBM is pushing its retail back-end platform, a set of tools for analyzing customer and operations data, and has in recent months announced deals that bolster its offerings in the area. The company said in February it completed its acquisitions of Emptoris, which provides software and services to aid supply chain management, and DemandTec, a maker of cloud-based analytical software for retailers.

In contrast, Toshiba Tec emphasizes "monozukuri," a Japanese concept that focuses on quality manufacturing of physical products, in its website and marketing materials. The company said the acquisition would expand its distribution and sales network while giving it a broader product line.

The companies said the deal still has to clear regulatory requirements and come to final closing terms. IBM will continue to provide support to its existing clients after it has been completed.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Jay Alabaster

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Tom Pope

Dynabook Portégé X30L-G

Ultimately this laptop has achieved everything I would hope for in a laptop for work, while fitting that into a form factor and weight that is remarkable.

Tom Sellers

MSI P65

This smart laptop was enjoyable to use and great to work on – creating content was super simple.

Lolita Wang

MSI GT76

It really doesn’t get more “gaming laptop” than this.

Jack Jeffries

MSI GS75

As the Maserati or BMW of laptops, it would fit perfectly in the hands of a professional needing firepower under the hood, sophistication and class on the surface, and gaming prowess (sports mode if you will) in between.

Taylor Carr

MSI PS63

The MSI PS63 is an amazing laptop and I would definitely consider buying one in the future.

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?