Toshiba Corporation, Matsushita Electric Industrial (best known for its Panasonic brand name) and wholly-owned Hitachi subsidiary Hitachi Displays Ltd. signed an agreement on 29 October 2004 to set up…
Toshiba Corporation, Matsushita Electric Industrial (best known for its Panasonic brand name) and wholly-owned Hitachi subsidiary Hitachi Displays Ltd. signed an agreement on 29 October 2004 to set up a company to manufacture and sell LCD panels for flat panel TVs. The deal follows a basic agreement signed on 31 August 2004. The joint venture, to be called IPS Alpha Technology, Ltd. (IPS Alpha), is scheduled to start operations on 1 January 2005. President of Hitachi Displays, Mr. Fumiaki Yonai, will serve concurrently as president of IPS Alpha. The project capital of the new company is JPY 60-70 billion. Hitachi Displays will contribute JPY 30-35 billion (50%), Toshiba and Matsushita JPY 15 billion each (21-25% each) and other companies JPY 0-5 billion (0-8% projected). IPS Alpha will manufacture LCD panels using Hitachi Displays“ IPS mode system technology. Close collaboration with IPS Alpha is expected to achieve synergies in the production of finished products at Hitachi, Toshiba and Matsushita, allowing them to achieve LCD TVs that are even more competitive in terms of performance and price. The new venture will produce the equivalent of 2.5 million 32-inch units per year and maximum output is scheduled to be realized in the 2H of fiscal 2008.