Hitachi is pulling out of the sale of personal computers, saying it wants to focus on larger network systems for businesses instead.
Analysts said the move showed Hitachi had been struggling to compete in a PC market dominated by US firms Dell and Hewlett-Packard and China's Lenovo.
Hitachi said it was now scaling back PC production at its central Japan plant.
The electronics group had been Japan's eighth-largest PC maker, with its main PC brand being Prius.
"We want to develop new computers for use in the broadcasting industry, which is becoming more digitised," said a spokesman.
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