Xerox’s Split into Two Companies Raises Bankruptcy Speculations

by San Antonio Attorney

When the photocopier giant Xerox recently announced that they would split into two companies, consumers were left baffled with the fate of the company.  Details of the split have yet to be announced and there was speculation that these were entirely related to legal and financial issues.

Kodak’s filed bankruptcy almost ten years was a similar case for Xerox.  Kodak faced financial struggles as the demand for film dwindled.  Kodak was also not fast enough to achieve retention for their existing clientele as the trend of the demands changed.  A core business was not there to replace the lost revenues due to decreased demand for film.  In its bankruptcy filing, patent portfolios were sold rapidly and even some pioneering business units were also given away.  This implementation caused the company to have a significant limitation in expansion and capitalization of investment.

In contrast, Xerox placed its main priority on a huge collection of patents, derived from the Innovation group via the Webster Research Center.  In 2015, Xerox has received numerous patents as compared to any local company and has bagged a placed in the top 20 companies for most patents issued.

Xerox researchers were issued approximately 567 patents in 2015; this is 60 percent of the total of the worldwide branch.  Aside from its known field of printing, the company improved its brand through toner formulation update, newer print head designs and even media registration.

Research covers the field of machine learning, data encoding and predictive analytics, entities deviate their field from the usual document printing.  Xerox’s expansion assures that their success will not be faltered as of the moment.  Any financial struggle is not buffered through liquidation through a patent portfolio that can be at par with Google or Amazon.  After the separation will be done, Xerox’s future is still intact.

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