'Most advanced' LCD plant is in jeopardy

SONY AND SHARP appear to have fallen out over the funding of what was planned to be the world's most advanced LCD production facility, the centrepiece of an agreement struck between the Japanese giants in February 2008.

Originally, according to Electronics Weekly, the factory should have started churning out screens in April, but repeated postponements have pushed that back to October 2010. Now talks to move the deal forward have apparently broken down in a stalemate.

Under the agreement Sony was to own a third of the plant and take a third of its output of 40-inch and 60-inch displays.

Depressed demand for big LCDs and Sony's poor financial position - it posted a near-$1 billion loss last year, forecast to deteriorate further - are to blame, says EW. µ

Electronics Weekly