Christine Persaud
Published: 02/12/2009 05:45:18 http://www.marketnews.ca

Earlier today, Pioneer globally announced that it would be exiting the plasma business by March 2010, moving its focus to other areas of the business, including 12-volt, audio, and pro DJ equipment. Marketnews talked with Bruce Schepers, Executive Vice President of Sales & Marketing at Pioneer Canada, on the situation in Canada.

Despite the fact that worldwide reports suggest Pioneer will be centering its business predominantly on the 12-volt market, Schepers was adamant that the company will remain firmly committed to all of its home audio lines as well, including both Elite and Pioneer receivers and Blu-ray players.

"There will be no principal changes in the scope or style of the A/V business," he insists. "We're not reducing any of the other A/V categories we're in."

While Pioneer is looking for a joint venture partnership to help expand its optical business, an official partner has not yet been confirmed. Schepers concedes that Sharp is a "likely candidate," but says that the situation is still fluid.

He adds that 12-volt will indeed remain an important part of the business, with engineering resources moving from the display side to the mobile side.

"They will be redeployed where Tokyo sees that they're needed."

As for Canada, which has a proven track record as a profitable subsidiary of the Tokyo-based company, 9th generation panels will remain in next fiscal year's budget.
"We will have 9th generation product up until summer," says Schepers, "and our goal is to get our hands on as many more 9th generation panels as we can to be able to supply as long as possible. Plans for DVD and Blu-ray products will go ahead as scheduled." There will, however, no longer be 10th generation displays (the planned designs based on Panasonic panels) coming to market.

While Pioneer confirmed that 10,000 jobs would be cut worldwide (6,000 permanent and 4,000 temporary employees), Schepers says that Pioneer Canada has not yet been given any requirement in this respect.

"But," he adds, "to say there won't be wouldn't make sense. We'll obviously scale down the organization if the requirement is given. But at this time, we haven't heard anything."
One thing Schepers stressed throughout our interview was that Pioneer will continue to be a strong force in the Canadian market. "We'll have a complete sales force here, continue to support and service product, and will maintain a full Canadian presence. It's business as usual for us."

He ended the interview on a high note. "You'll be able to reach me at this number for some time to come."