Logitech, the long-standing peripherals company that has served the games industry for many years, has announced that it is throwing in the towel on the market. It will no longer be making products for the traditional games sector, focusing instead on tablet accessories.
Logitech president and CEO Bracken Darrell said in a statement that the "continued weakness in the PC market" was to blame for its financial misfortunes. The company posted concerning fiscal results for its third quarter, with sales down 14 per cent to $615m, an operating loss of $180m and net losses of $195m.
Darrell said that the company has "plans to discontinue other non-strategic products, such as speaker docks and console gaming peripherals by the end of calendar year 2013" as it finds "a number of product categories that no longer fit with our current strategic direction."
Announcing the decision, the CEO said, "We are taking immediate actions to shape a faster and more profitable Logitech. We plan to expand our presence in the growing tablet accessories category with the launch of a number of exciting new products later this quarter.
“We are developing more mobility-related products, leveraging the powerful growth of tablets and smartphones. We intend to sustain our leadership in PC platform-related products where we have engineering, distribution and scale advantages. Our goal with PC-platform products is to maximize profitability, while investing selectively in growing categories."