Toshiba has announced that it is set to buy the Point of Sale portion of IBM's business for a whopping $850 million.The Japanese firm plans to take over the hardware side of the business, with IBM moving to more of a traditional software focus.
IBM has been working on a "smarter commerce" platform for quite some time and this move will see that continue. Part of the deal is that both companies will continue to work together, Toshiba handling the hardware and IBM providing the software to go with it.
However it's not all cut and dry as of yet. The deal must still pass regulatory scrutiny and even if everything goes smoothly, it's not likely to be completed until the end of the third quarter this year. IBM has stated that it will continue to provide support for all existing customers after the deal has been completed.
Toshiba hopes that thanks to this move it will be able to expand its product line, allowing it to continue to focus on hardware sales - something that many other traditional manufacturers have moved away from in favour of software and content. Japanese electronics rival Sony is a great example of this, with its entertainment division performing far better than that of its hardware branches in the past few years.