Gaming peripheral maker Logitech will cease manufacturing console products by the end of 2013.
Logitech has seen better quarters than its most recent one, in which sales were $615 million, down 14 percent from $715 million one year prior. The company posted an operating loss of $180 million, in part based on a non-cash goodwill impairment charge estimated to be $211 million, but also because it's just not selling as many peripherals. In an attempt to turn things around, Logitech said it's discontinuing "non-strategic products," including speaker docks and console gaming peripherals.
It's a surprising decision considering Logitech pointed to "continued weakness in the global PC market" as the "primary factor in our disappointing Q3 results." Logitech called the results "unacceptable" and vowed to take "decisive action," but remains committed to the PC platform.
"We are taking immediate actions to shape a faster and more profitable Logitech," said Bracken P. Darrell, Logitech president and chief executive officer. "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."
So there you have it -- mobile and PC products are in, console peripherals are out. We can live with that, how about you?