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Last Updated: Thursday, 10 March, 2005, 07:27 GMT
Kyocera to drop digital cameras
Mobile phones
Cameras on mobiles are catching up with standalone models
Japanese electronic firm Kyocera has decided to get out of the stand-alone digital camera market in the face of rapidly-eroding margins.

The firm, a specialist in making parts for digital devices, said it would quit making cameras by the summer.

Instead, it will focus on making cameras for mobile phones.

Digital camera sales are soaring - but competition means prices are falling even faster, while increasingly mobile phone cameras rival stand-alone models.

Kyocera is the first Japanese firm to drop out of the camera market.

It is a relatively small player, with just 3% of domestic sales.

The firm saw net profits in the three months to December fall 31% from the previous year to 59bn yen ($570m; 295m).

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