There is huge competition in smartphone market. Every phone company has brought out a smartphone in the market. Users have so many choices even price wise. The Apple and Samsung seems to be in continuous war for maintaining or attaining the top spot. Its difficult. DEfinitely NEC would have taken this step for right reasons. Afterall business is all about mone.
I'd say that NEC had brought this onto themselves. However, there have been a lot of chatter back in Japan, blaming it on NTT Docomo.
The Japanese telecom giant's new mobile business strategy, reportedly focused on promoting smartphones made by Sony and Samsung, appears to be the final nail in the coffin on NEC's smartphone operations.
I blame NTT Docomo for a number of other reasons -- such as its inability to establish itself outside Japan, while tightly controlling a so-called "Docomo Family."
Docomo for years dictated features of handsets and chips developed by the Japanese suppliers (those who are a part of the Docomo Family). The company made them jump through hoops.
In the end, many Japanese vendors who got too focused on supplying to Docomo were left standing with little resources to spare for the markets abroad.
I think we are going to see a lot more of this. Everybody and their mother of course wants a piece of the white hot smartphone market. And of course everyone does want a smartphone. But how many competing vendors can survive? Especially when only Apple and Samsung are making any money at it.