Skip to main content
  1. Home
  2. Business
  3. News

Xerox becomes Fuji Xerox in cost-cutting move with Fujifilm

By

fuji xerox merger news connectkey printer interface
Image used with permission by copyright holder
Fujifilm and Xerox are taking existing industry collaboration to a new level. On Wednesday, January 31, Fujifilm and Xerox announced a move to combine efforts in the document solutions industry. Fujifilm will be a majority stakeholder in a newly combined company called Fuji Xerox. The move will allow the companies to reduce costs while expanding options through the merger of two different research and development teams.

Understanding just how the companies are working together is a bit of a brain teaser. Fuji Xerox Co. Ltd. (not to be confused with the new Fuji Xerox) is a joint venture by Fujifilm and Xerox created over 50 years ago. Fujifilm owns a 75 percent stake in that joint venture and Xerox, the remaining 25 percent. That Fujifilm Xerox Co. (not Fujifilm itself) is combining with the existing Xerox company, which will be renamed into Fuji Xerox. With all the Fuji Xeroxes being tossed around, the group is temporarily referring to the new venture as New Fuji Xerox.

Recommended Videos

Fujifilm isn’t spending any actual cash on the change either — Fujifilm is selling all of its shares in that 75 percent of the existing Fuji Xerox and using that to buy a 50.1 percent share in the New Fuji Xerox.

Related

While it may be a bit hard to follow how the transaction is happening — with multiple parts under the same Fuji Xerox name — the merger’s impact on consumers is a bit easier to make out. With the combination, the companies combined revenue, as they sit currently, makes the New Fuji Xerox a world leader out of all the document solution companies. The merger will also bring together their resources and technology, which Fujifilm says will help expand offerings from Fuji Xerox. That opens up possibilities for the new Fuji Xerox outside of the typical office, including industrial printing and commercial printing.

The combination also comes as office document focused companies are struggling with decreasing revenues as expanding digital tools leave lower demand for printing. Through the merger, the previous Fuji Xerox and Xerox will be able to reduce their costs to the tune of $1.7 billion dollars by 2022, with a majority of those savings taking place over the next two years. Some of that structural reform is through cutting what amounts to about a fifth of the workforce from the existing Fuji Xerox, or around 10,000 employees in the Asia Pacific region, according to CNBC.

Xerox becoming Fuji Xerox doesn’t necessarily that Xerox name will disappear — according to the announcement, the newly formed company plans to continue using the Fuji Xerox and Xerox brands in their current regions, with Fuji Xerox primarily in Asia and Xerox the more common name in the United States and Europe.

The deal is expected to be finalized this summer.

Editors’ Recommendations

Topics
Hillary K. Grigonis
Hillary K. Grigonis
Former Digital Trends Contributor
Hillary never planned on becoming a photographer—and then she was handed a camera at her first writing job and she's been…
Intuit QuickBooks summer savings have us excited for bookkeeping and more
Intuit QuickBooks Online and Payroll Indepence Day deals used by business owner

Being honest, accounting, bookkeeping, and various administrative tasks aren't exactly what most people would call exciting, even if they own a business. It's something you have to do, but not that you necessarily want to do. But you absolutely have to stay on top of it; otherwise, things could get out of hand later, like when you're filing taxes or trying to calculate expenses. As a leader in small business fintech, Intuit QuickBooks is helping over 7 million customers worldwide do precisely that. From a startup to scaling up, the Intuit QuickBooks ecosystem delivers products and services that are a core component of small business growth. Accounting, payroll, payments, capital, and even marketing assistance via Mailchimp are just a few examples of what you can expect from a QuickBooks subscription. Thanks to its current Summer Sale, you can save a never-before-seen 70% off Intuit QuickBooks plans. That offer and these prices excite us for something that, typically, wouldn't be considered exciting.

 
These Intuit QuickBooks Summer Savings are unprecedented
This is the first time we've ever seen prices this low, and it may actually be the only time it happens. Time will tell, but the point is that you can save big on QuickBooks plans that you need for your business. The deal offers 70% off QuickBooks Online for your first three months. With Simple Start -- the base plan -- you get your first three months for just $9 per month instead of $30. That saves you $21 monthly for $63 across your initial three months of service. By comparison, the Essentials tier is only $18 per month instead of $60, and the Plus tier is only $27 per month instead of $90. If you want to splurge and go with Advanced, it's only $60 monthly for your first three months instead of $20h. Those are some incredible savings.

Read more
Grammarly should be your next AI writing partner for all things text
Grammarly-featured-image-with-creative

Not everyone is a writer, and that's okay. However, we do a lot of writing throughout our lives, from essays and school papers to dissertations, work reports, letters, emails, and beyond. Even with the advent of digital platforms, there's still a lot of writing to be done. But some tools can help significantly, like Grammarly.

Despite what the name espouses, Grammarly helps you with a whole lot more than just basic writing structure and grammar. That's thanks to an integrated AI writing assistant that can enhance your writing skills and improve the quality of the content you create. You'll get real-time suggestions about grammar, spelling errors, punctuation, and style. Ultimately, that leads to better writing from you with the complete confidence and clarity of a skilled artisan. Let's take a closer look at what Grammarly has to offer, well, everyone.

Read more
What is Microsoft Teams? How to use the collaboration app
A close-up of someone using Microsoft Teams on a laptop for a videoconference.

Online team collaboration is the new norm as companies spread their workforce across the globe. Gone are the days of primarily relying on group emails, as teams can now work together in real time using an instant chat-style interface, no matter where they are.

Using Microsoft Teams affords video conferencing, real-time discussions, document sharing and editing, and more for companies and corporations. It's one of many collaboration tools designed to bring company workers together in an online space. It’s not designed for communicating with family and friends, but for colleagues and clients.

Read more