In news that's mostly unsurprising, Nikon has announced that they will discontinue operations of Nikon Imaging (China), a manufacturing subsidiary of their imaging business, citing the rise of smartphones and the consequential fall of compact cameras as the main reason.
Nikon announced the news today, noting that Nikon Imaging (China), established in 2002, has suffered an increasingly "difficult business environment" in recent years. The subsidiary of the parent Nikon manufactured digital cameras and lenses, but as the capabilities and prevalence of smartphones have exploded, the point and shoot market has essentially evaporated in recent years, leading to the dissolution and liquidation of the subsidiary. While photographers and enthusiasts sometimes appreciate the increased capabilities of a high-end point and shoot, the majority of customers tend to find those of a smartphone sufficient for their needs, rendering compact cameras mostly redundant.
Unfortunately, Nikon Imaging (China) employs 2,285 people, and no word was given on if the company will attempt to relocate any of the employees. The parent Nikon has not yet announced the resultant impact the closing of the subsidiary will have on their finances, but has said such an analysis will be made part of the second quarter fiscal analysis being released on November 7.