Philips Consumer Communications

Philips Consumer Communications (abbreviated to PCC) was a $2.5 billion joint venture of Lucent Technologies and Royal Philips Electronics formed in 1997 and closed in 1998.

Philips Consumer Communications (PCC)

Company type	Joint venture
Industry	Electronics
Founded	October 7, 1997; 27 years ago (1997-10-07)
Founders	Lucent Technologies and Royal Philips Electronics
Defunct	1998 (1998)
Fate	Closed down and assets split between joint venture partners
Headquarters	Parsippany, New Jersey , United States
Area served	Worldwide
Products	Cellular phones, corded phones, answering machines, and pagers.
Owner	Lucent Technologies (40%) and Royal Philips Electronics (60%)

Philips owned 60% of the joint venture, with Lucent owning the other 40%. PCC was a global venture, with branches in more than 100 countries, including the US, Latin America, Asia-Pacific and Europe.^[1]

History

The joint venture was formed on October 7, 1997 in Parsippany, New Jersey by Lucent Technologies and Philips to create mobile and landline phones. The company consisted of the consumer communications equipment businesses of both companies. Both companies made products in the venture, often not sold under their own names. Philips Consumer Communications produced the following equipment:

• digital/analog cellular phones – sold under Philips brand
• corded/cordless phones – sold under AT&T brand
• answering machines – sold under AT&T brand
• screen phones – sold under Philips brand
• pagers/cellular telephones – sold under both Lucent/Philips brands

Eventually, all telecommunications products made in the venture would have been sold under the Philips brand.^{[citation needed]}

In 1998, Lucent and Philips announced it would dissolve its joint venture, after garnering only a 2% market share in mobile phones and losing $500 million on a revenue of $2.5 billion.^[1] Both companies initially re-absorbed their respective assets in the joint venture, but Lucent subsequently sold off its parts to VTech and Motorola.^[2][3]