Japan Display K.K.


Sony Corp. (6758), Toshiba Corp. (6502) and Hitachi Ltd. (6501) agreed to divest their liquid-crystal display businesses to a government-backed fund amid mounting competition from South Korean and Taiwanese producers.

Innovation Network Corp. of Japan (INCJ) will own 70% of Japan Display K.K. after an investment of ¥200 billion. Sony, Toshiba, and Hitachi will divide up the remaining 30%. Japan Display will use the infusion of capital to construct new display production facilities.

3D LCD Panel Shipments Grow in Second Quarter


Shipments of 3D-capable large-area TFT LCD panels increased to 5.2 million units in Q2, growing by 124% Q/Q. Shipments of 3D panels were primarily for LCD TVs, reaching 4.9 million units in Q2’11, 118% Q/Q growth, and pushing the 3D penetration in LCD TV panels from 4.5% in Q1’11 to 9.3% in Q2’11.

Note these are 3D LCD panels shipping into the supply channel. The question then becomes: is the increase in 3D LCD panel shipments the result of end user market demand for 3D TVs? Or it is simply a supply side push based on wishful thinking? I’m betting it’s the later.

U.S. Sues to Block AT&T, T-Mobile Merger

The U.S. Department of Justice, via Bloomberg:

AT&T’s elimination of T-Mobile as an independent, low-priced rival would remove a significant competitive force from the market.

Speaking of T-Mobile’s low prices, the pre-paid US$100 SIM card that gives you 1000 minutes valid for one year is the best option for minimalists who rarely use a phone.

LG Display Reduce 2012 CAPEX

Jung-ah Lee, WSJ:

LG Display said it would spend around three trillion won ($2.8 billion) on facilities next year, down about 33% from its revised budget for this year. A month ago the company cut this year’s capital-spending budget to around 4.5 trillion won from 5.5 trillion won.

LGD will not be building additional LCD fabs in 2012. The company is responding to lackluster demand for TVs. 3D and smart TVs. The type of TVs only a few are willing to pay the premium for.