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Philips to reallocate activities of Business Electronics division

Friday 04 June 1999 23:02 BST
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PHILIPS ELECTRONICS yesterday confirmed it intends to reallocate all activities of its Business Electronics division. Philips said it had asked Business Electronics division chairman Fred Bok to organise the changes. The division will cease to be an organisational entity from 1 August.

Products such as Digital Video Communications Systems (DVS), Philips Broadband Networks (PBN), Speech, Videoconferencing, Faxes, Philips Business Communications (PBC), and Communication & Security Systems, will be transferred to the Consumer Electronics division to reflect the trend that they are becoming more consumer oriented, Philips said. Commentators predicted the division would be scrapped following the resignation of Roel Pieper, the board member responsible for it. Mr Pieper's plans to expand the division were reportedly vetoed by other board members, who considered the takeover of a US set-top box manufacturer to be too expensive.

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