Sharp stops to work with Sony on the LCD slabs, and found a new ally: Foxconn.
In February 2008, we announced the creation of a joint venture by Sony and Sharp to pool their investments in the production of slabs LCD. Today, the flat screen market in lack of profitability, the two companies announced the end of their collaboration on Sharp Display Product, the joint venture in question that was installed in the factory of Sakai to the East of Japan. Sony will indeed recover 10 billion yen sharp (approximately EUR 100 million) in which the firm will give all its shares, or 7.04%.
If Sony recently posted huge losses increased by the poor performance of its televisions, on the difficulties encountered by its range of products Bravia pressed by a very aggressive price competition, Sharp on the other hand found support in Foxconn, since the parent thereof (Hon Hai Precision) has invested $ 1.6 billion to retrieve 9.9% of the capital of the Japanese.
An entry to the capital which also concerns the joint venture that left Sony, Sharp Display Product, including Hon Hai Precision is now 46.5% shareholder. Some people see in the investment of Foxconn at Sharp preparations for future production of an Apple TV...