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October 29, 2008 5:16 PM PDT

Bang & Olufsen hangs up on cell phone biz

by Kent German
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The last Bang & Olufsen cell phone

(Credit: Corinne Schulze/CNET Networks)

Apparently even Bang & Olufsen is feeling the effects of the sour economy. The Danish company, which has a built a reputation as a purveyor of high-end electronics, is exiting the cell phone business. The Financial Times reported Wednesday that besides phones, Bang & Olufsen will also stop making DVD players and recorders in an effort to concentrate on televisions and audio equipment.

Granted, it's not a huge loss to the cell phone world. The Bang & Olufsen Serene, which the company designed two years ago with Samsung, certainly had an intriguing design. But the phone faltered in functionality and performance. It also didn't help that it cost $1,275.

Kent German is a senior editor for cell phone reviews at CNET. When he's not testing the newest handsets on the market, he's blogging about cell phone news for Crave. In his On Call column, he answers reader questions and gives his take on the rapidly changing mobile industry. E-mail Kent.
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