Shares in mobile computer maker Psion fell to a two-year low today as the firm, deflated by the bursting high-tech bubble, cut jobs and shifted its focus from consumer gadgets to the industrial world.
Europe's largest maker of handheld computers said it was ditching plans to make a smartphone after partner Motorola pulled out in January amid falling expectations of mobile phone growth and high-speed network delays.
The smartphone project was to have used the EPOC operating system Psion developed but is now owned by Symbian, a Psion-led consortium also including phone makers Ericsson, Motorola and Nokia.
Psion cautioned that delays in the mass market take-off for Symbian products, caused largely by delays in next-generation high-speed mobile phone networks, would affect the consortium.
Psion chief executive Mr David Levin said 100 jobs would go - a fifth of the workforce in a new unit to be called Psion Digital Solutions.
Psion broke the news as it reported a year pre-tax loss of £1.4 million sterling for 2000 - compared to a £4.6 million profit the year before.
The shares dropped 13 per cent by 08:55 to £1.33 after going as low as £1.30 - the lowest since January 1999. Psion shares have a 52-week high of £15.10.