Japanese audio equipment maker Onkyo Home Entertainment filed for bankruptcy at Osaka District Court on Friday, with total liabilities of around 3.1 billion yen ($24 million).

The Osaka-based company was delisted in August. It was unable to keep pace with changes in how people listen to music, as users shift from audio equipment like compact stereo systems -- once Onkyo's core business -- to devices like smartphones for streaming services.

Two Onkyo subsidiaries that handled original equipment manufacturing -- such as assembling speakers for other brands -- and sales representation of audio equipment filed for voluntary bankruptcy in March.

Since then, Onkyo has essentially stopped doing business except management of an already-sold subsidiary. The company told Nikkei it "tried to maintain business on a smaller scale, but could not stop cash-flow problems from worsening."

Established in 1946, Onkyo supported the audio boom as a household name for speakers, turntables and stereo receivers. But the market transformed in the 2000s as Apple's mobile audio player iPod and smartphones became popular. The dwindling market for analog audio equipment such as stereo sets led to a steady downturn in earnings.

Source: ANNnewsCH