Sharp, Sony Agree On LCD Joint Venture

-- TWICE, 2/26/2008 6:20:00 AM

Tokyo – Sony Corp. and Sharp Electronics confirmed reports that they will begin a new joint LCD venture that will have Sony own a one-third stake in Sharp’s newest LCD plant.

The new factory is slated to open in 2010 and will produce panels for each companies TV lines is a 10^th generation LCD manufacturing facility

Exactly how much each company will invest in the plant has not been revealed, but the deal does have Sharp owning 66 percent of the plant and Sony picking up the rest. The companies said that they would “negotiate in good faith” to enter a legally-binding joint venture by September 30, 2008.

Company name and cost of the operation have not yet been decided, but construction for the Japanese plant is planned to begin in April 2009 in the Sakaihama District, Sakai-ku, Sakai City in Osaka Prefecture.

Initial production should be 36,000 substrates a month, with the target being 72,000 a month when the plant is fully operational.