WXXI AM News

Xerox fires back at Fuji lawsuit

Jun 25, 2018

Xerox is firing back with a strongly worded letter after it was reported last week that Fuji is suing Xerox for more than a billion dollars.

That’s after Xerox backed out of a proposed merger between the two companies that would have seen Fuji take majority control of Xerox.

On Monday, Xerox’s new CEO, John Visentin, who was named to that post in May, released a letter he sent to Fuji Chairman Shigetaka Komori in which he calls the lawsuit a “desperate and misguided negotiating ploy to save their takeover attempt.”

Visentin says that Xerox will take steps to protect its supply chain including sourcing products from new vendors. He also says that Xerox will be better served by not renewing a technology agreement with Fuji Xerox when it expires in 2021 and will tell Xerox investors about the “enormous growth opportunity” if Xerox were to sell products directly into the Asia-Pacific Market.

Fuji Xerox is a joint venture between the two companies that has been around since the 1960s. Xerox has a 25 percent stake in that venture.

He also says that Xerox will build partnerships with companies that are aligned with Xerox’s mission to provide world-class technology and solutions.

Visentin says that Fuji’s takeover attempt of Xerox has already been blocked by an order from the New York State Supreme Court.