Apricot Computers Ltd, the personal computer business of Mitsubishi Electric Corp, will stop designing and manufacturing PC hardware from the end of June. The decision to close the doors on the 15-year-old UK PC maker will mean the loss of 200 jobs, mostly in Birmingham and London. A spokesperson for the Mitsubishi Electric PC Division said that the group had nearly completed negations with an unnamed buyer who will purchase Apricot’s manufacturing operations in Scotland. The spokesperson said that completion of the deal was literally, a few days away.

In a letter to Apricot’s reseller clients, the president of the Mistubishi Electric PC Division, Dr Peter J Horne, described the closure of operations, as a necessary step. He went on, it is clear that profitable hardware opportunities are extremely limited in Europe for all but the biggest or niche market players. Mitsubishi will continue to sell Apricot-branded PCs in Japan. In his letter, Horne said that support services will carry on as normal for the foreseeable future.

The Mitsubishi Electric PC Division will now refocus entirely on its existing internet software and systems integration business. The Division currently offers MeNet online services and the Narvision ERP system, both sold under the Metaphorix name.