Even with the interesting and innovative Neonode N2, Neonode Inc’s Swedish subsidiary, Neonode AB, was not able to hold it together and stay afloat. You read right, Neonode AB like so many other companies these days has recently filed for bankruptcy.

Neonode Inc CEO and Charmin, Per Bystedt, says that for the last six months they have been trying their best to turn the business around and resolve the financial issues that Neonode AB is having. Bystedt remains confident about their products, “We continue to have great belief in our technology and believe we have a competitive product in the Neonode N2 but without sufficient funds we cannot continue operations.”

Neonode Inc will still continue to do business as usual, developing and marketing their internally made and patented touchscreen technology zForce, which works with optical/infrared sensors rather than just relying on touchscreen displays. Neonode is not doing so well these days with the bankruptcy on top of a complete reconstruction. Lets cross our fingers and hope for at least one more innovative touchscreen from them.

[Via SlashPhone]