Sharp signs agreements with Sony (mftg) and Pioneer (supply) on LCD

[lcaillo]

From Sound and Communications Newsletter

http://www.soundandcommunications.co...tter/index.htm

Sharp Corp. (Osaka, Japan) and Sony Corp. (Tokyo, Japan) have signed a non-binding memorandum of intent to establish a joint venture to manufacture and sell large-sized LCD panels and modules by splitting out from Sharp an LCD panel plant currently under construction. The two companies will negotiate to enter into legally binding joint venture documentation by the end of September. Once the joint venture agreement is entered into and becomes effective, and subject to receipt of necessary government approvals, the joint venture will use what are being called the first 10th generation glass substrates to produce large-sized LCD panels and modules. These then will be supplied to Sharp and Sony in quantities corresponding to their respective investments. To reinforce their cooperation further, Sharp and Sony will study the possibility of jointly developing components for LCD modules, as well.
The joint venture will be based in Osaka, with the date of establishment scheduled for April 2009. Capital is divided between Sharp’s 66% and Sony’s 34%. Eventually, production capacity will be 72,000 substrates per month, but will be 36,000 substrates panels initially.

SHARP AND PIONEER CONDUCT JOINT PRODUCT DEVELOPMENT
As part of a business and capital alliance formed by Pioneer (Tokyo, Japan) and Sharp Corp. (Osaka, Japan) in 2007, the two companies are conducting joint product development by making use of each other’s resources in their respective fields of expertise. In the field of flat-panel TVs, Pioneer is taking part in Sharp’s development of acoustic systems for ultra-thin, flat-panel TVs. By leveraging its acoustic technologies, Pioneer aims to develop acoustic systems employing ultra-thin speakers that still provide good sound quality for supply to Sharp. Sharp will supply Pioneer with LCD TVs based on its technologies. These LCD TVs will be launched first in Europe this Fall and the lineup of LCD TVs will be expanded steadily. Plans also call for engineers from Pioneer and Sharp to team up to develop LCD TVs that carry on Pioneer’s “KURO” series’ legacy.
In related news, citing difficulties maintaining the cost competitiveness of plasma display panels at projected sales volumes going forward, Pioneer has decided to terminate in-house plasma display panel production and to obtain these panels externally, after panel production for its next series of models is finished. The company characterizes the move as one that will allow it to transition its business model for displays from vertically integrated, capital-intensive operations to a leaner business model geared to making value-added product proposals. At present, Pioneer is in discussions on the feasibility of procuring panel modules that may incorporate the company’s proprietary technologies. Details are forthcoming.