Chi Lin Technology, a Chi Mei Group affiliate, merged with TopSun Optronics (LCD module manufacturer) and Chilin Optronics (projector manufacturer and a Chi Mei Group member) on January 1, 2007. The combined entity will gain resources that give it advantages in procurement and R&D capabilities. Chi Lin’s major products include LCD backlight unit (BLU) materials, BLUs, touch panels and other specialty displays. Major sharedholders of TopSun include Quanta Computer and AUO via it’s acquisition of Quanta Display Inc. (QDI).
Continued consolidation in the LCD industry must continue in Taiwan to increase competitiveness against Japanese and Korean competitors. Resources must be pooled so that important R&D can be undertaken to develop technologies and material manufacturing technologies to reduce the cost of producing LCDs. This is good news.