sony invests in sharp\'s lcd panel plant
Sharp\'s third stake in $3.
To meet the growing demand for flat panel TVs, the 5 billion LCD panel factory will be completed in March 2010.
This is the latest in the wave of the Japanese alliance of flat-screen TV makers, who are trying to get enough panels while controlling initial investments in response to sharp price drops.
Sony hopes to have a new panel supply source outside its LCD joint venture with Samsung Electronics Co. , Ltd. , and the deal gives sharp a partner to take part in the investment and help the factory stay busy.
Sharp, which offers Aquos LCD TVs, plans to bring the world\'s largest LCD display factory to Osaka-
The remaining companies have 66% and Sony respectively.
Both companies declined to say how much they would invest.
\"This agreement is a very big step forward for Sony because we are trying to be the number one in the world.
Sony president Ryoji Chubachi said at a news conference.
Sony and Sharp are second in the world. and third-
According to 2007 of the display search data, the largest LCD TV manufacturer behind Samsung in South Korea.
The joint venture will also produce display units for LCD modules, components equipped with backlight and LCD drive chips.
Chubachi says Sony works with Samsung\'s panel
LCD TV is still critical to its flat-screen TV business.
\"We continue to see S-
As the core supplier of LCD panels and modules, we will continue to operate together . \"
Starting in April, global demand for LCD TVs is expected to reach 100 million units, he said, and Sony\'s goal is to gain 15 to 15 million market share, or 20 million to one. Higher than its sales forecast of 10 million this year.
Park Hyun, an analyst at Prudential Investment Securities, said: \"As Sony expands TV production, it is natural to seek a diversity of panel sources . \".
Sharp\'s new factory will be the first in the world to use so-called 10th-
Generation glass substrates can produce more panels than earlier versions, improve production efficiency and help both companies offer attractive flat-panel TVs at a price.
\"If Samsung proposes to build and operate 10-
It will be worth considering as long as the project is able to produce a competitive panel, \"said Chubachi.
Sharp says 15 out of 40
Inch panels can be cut from the new mother glass, from the eighth panel to the eight
A generation of parent glass in existing factories.
\"Our joint efforts will improve the quality and cost-competitive nature of the LCD panel and make the Japanese LCD industry as a whole stronger,\" said Sharpe President ASIO Katayama . \".
Previously, Toshiba Corp. decided to buy liquid crystal panels from Sharp at the end of last year, while Matsushita Electric Co. , Ltd. (Matsushita Electric Co. , Ltd. )
8 billion set up an LCD factory in the face of strong LCD TV demand and tight panel supply.
However, positive investment in panel capacity has raised concerns among investors about potential oversupply.
\"The problem will be 2010 and 2011.
At a time when demand for television may peak, Sharp\'s 10
\"The power plant will be put into production and Panasonic\'s new plant will be put into production,\" said Watanabe Xiushu, an analyst at Shinko Securities . \".
\"Today\'s deal gives sharp a good hedge against risk.
Sony\'s stock closed up 1.
5,200 yen against 2,100 yen, sharp flat against the yen.
Tokyo motor index rose 0. 3 per cent.