Sony, Hitachi and Toshiba Join Forces for Planned LCD Venture

  • Sony, Toshiba and Hitachi announced they plan to merge their small screen divisions into one liquid crystal behemoth, to be known as Japan Display.
  • “The deal could create the world’s biggest maker of LCDs for mobile phones and cameras,” reports the New York Times, “with 22 percent of the market for small and midsize screens, according to DisplaySearch, an industry research firm.”
  • “By integrating each partner company’s wealth of display expertise and know-how, I am confident the new company will become a driving force for technological innovation and new growth in the rapidly expanding market,” says Howard Stringer, Sony’s chief executive.
  • The Japanese government has reportedly encouraged its nation’s manufacturers to consolidate as a means of competing with rivals such as South Korea’s Samsung, which is presently more profitable than any Japanese electronics manufacturer.
  • The venture must gain approval from antitrust regulators in Japan in order to move forward.