Canon turns down IBM printer offer

Japanese printer company Canon admitted today that it was offered IBM's $2bn printer business, but declined it. A spokesman from Canon said it will remain focused on the desktop end of the market.
IBM is believed to have employed investment banker Goldman Sachs to sound out possible buyers for its high-end printer division. IBM has refused to comment on Canon's announcement.
Other printer companies thought to be interested are Ricoh and Xerox, although neither has confirmed it has been approached.
Analysts have cast their predictions further afield. IDC's European peripherals senior research analyst, Julio Vial, favours Hewlett-Packard (HP) as a front runner for the takeover. "About the only area that HP's printer business is not strong is the high-end," he said.
"If it has a commitment to the printer market, the acquisition would be a good idea. Xerox has a complete range of printer products and is beginning to eat into HP's share of the market - HP would be able to hit back with IBM's division."