Sony has entered a memorandum of understanding with Japan Industrial Partners (JIP) to sell the company's Vaio PC division. The price secured for Vaio has yet to be disclosed but it is hoped the deal will be completed by the end of the year. Sony will cease immediately to design and develop any further PC products.
The company cited drastic changes to the global PC industry and its overall strategy as reasons for the sell off. The Japanese company intends to focus efforts on its smartphone and tablet lineup. Sony will end manufacturing and sales of its PC products after the spring.
Sony said in a press release:
Sony and JIP will now proceed with due diligence and negotiate detailed terms and conditions of the business transfer, targeting the conclusion of a definitive agreement by the end of March 2014. Following reevaluation of the product lineup, the new company is expected initially to concentrate on sales of consumer and corporate PCs in the Japanese market and seek to optimise its sales channels and scale of operations, while evaluating possible further geographic expansion.
As part of the company's restructuring Sony will be cutting 5,000 jobs worldwide. Between 250 and 300 employees will transfer to JIP as part of the Vaio sale.