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The Danish Luxury device maker, Bang and Olufsen have been affected so badly by the current economic crisis that they are backing off from the cell phone business along with some other fields. The company that has released only two products till now, the Sereneta and the earlier Serene is already feeling the credit crunch. The company chief, Karl Kristian Hvidt Nielsen, explains that B&O is finding it hard to find buyers due to the collapsing property values. The company also plans to drop DVD players and other non-essential devices and will concentrate on core products such as TV’S and Speakers. Looks like the already outclassed luxury phones that faced competition from the ‘smartphones’ cannot deal with this new downfall of the market and are on their way out for good.

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