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Foxconn buys 10% share of Sharp to help boost LCD business

post #1 of 28
Thread Starter 
Sharp is looking to shake up its money-losing LCD business by selling a 10 percent stake to Foxconn, Apple's overseas manufacturing partner.

Foxconn will buy $808 million worth of shares in Sharp Corp., The Wall Street Journal, giving it a major stake in the Japanese LCD manufacturer. Sharp said the partnership was necessary as it and other LCD panel manufacturers continue to be unprofitable.

Sharp's losses in the LCD business are expected to contribute to its biggest annual loss in the company's 99-year history. It plans to use funds from Foxconn's investment to focus on building smaller displays for smartphones and tablets, which have seen continued strong demand as HDTV profits weaken.

Officials at Sharp said the partnership with Foxconn will create demand for products from the state-of-the-art Sakai LCD factory it opened in 2009. Until now, Sharp has struggled to find demand, but Foxconn is expected to take about half of the panels produced at the plant by the end of this year.

The partnership is noteworthy for Apple, as Foxconn is its primary device assembler, and Sharp has been a significant supplier of LCD panels for devices like the iPhone and iPad.




The news comes as Sharp is said to have recently begun shipping small volumes of high-resolution Retina Displays to Apple for its third-generation iPad. Initial Retina Display shipments have largely come from Samsung as LG and Sharp have worked to improve their output.

There have been claims that Sharp, along with LG, has struggled to meet Apple's quality requirements for the new iPad's Retina Display. Earlier reports claimed that Sharp was attempting to sell Apple on its own IGZO display technology for the new iPad, but Apple reportedly passed on the technology and opted instead to stick with traditional LCD screens.

[ View article on AppleInsider ]
post #2 of 28
Brilliant ! not even necessary for Apple to do it !
post #3 of 28
Quote:
Originally Posted by umrk_lab View Post

Brilliant ! not even necessary for Apple to do it !

I don't know. Foxconn may become the next Samsung. Next thing you know they will be designing and building their own devices.

Life is too short to drink bad coffee.

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Life is too short to drink bad coffee.

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post #4 of 28
Quote:
Originally Posted by mstone View Post

I don't know. Foxconn may become the next Samsung. Next thing you know they will be designing and building their own devices.

They already are claiming to do their own design work. I wouldn't be at all surprised to see some branding at some point.

"Foxconn boasted that it leaves only the marketing to the brands that hire them: "Our customers can now focus on product positioning, marketing, sales and distribution while leaving us to take care of their product design and supply chain" said the report."
http://www.theregister.co.uk/2012/03...hone_division/
melior diabolus quem scies
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melior diabolus quem scies
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post #5 of 28
I know Foxconn loves low margin businesses, but negative margin is really a bold step.
post #6 of 28
I see it's many steps up for Foxconn, but with everyone losing money in LCD business (and bleak outlook), I don't know how this is going to change anything for Sharp.
post #7 of 28
Quote:
Originally Posted by AppleInsider View Post

Officials at Sharp said the partnership with Foxconn will create demand for products from the state-of-the-art Sakai LCD factory it opened in 2009. Until now, Sharp has struggled to find demand, but Foxconn is expected to take about half of the panels produced at the plant by the end of this year.

Apple TV
post #8 of 28
Quote:
Originally Posted by AppleInsider View Post

Sharp is looking to shake up its money-losing LCD business

Excellent use of grammar.

Very gooder.
I always appreciate an Android fan who puts his energy into advertising Apple products.
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I always appreciate an Android fan who puts his energy into advertising Apple products.
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post #9 of 28
Quote:
Originally Posted by GTR View Post

Excellent use of grammar.

Very gooder.

? What would you prefer?
They spoke of the sayings and doings of their commander, the grand duke, and told stories of his kindness and irascibility.
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They spoke of the sayings and doings of their commander, the grand duke, and told stories of his kindness and irascibility.
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post #10 of 28
Foxconn is going to own Sharp. Plain and simple.
post #11 of 28
Quote:
Originally Posted by addabox View Post

? What would you prefer?

Financially-challenged.
I always appreciate an Android fan who puts his energy into advertising Apple products.
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I always appreciate an Android fan who puts his energy into advertising Apple products.
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post #12 of 28
Quote:
Originally Posted by GTR View Post

Financially-challenged.

Sorry, G, but you would never use a hyphen with an adverb. Money-losing is standard usage.
post #13 of 28
Quote:
Originally Posted by Flaneur View Post

Sorry, G, but you would never use a hyphen with an adverb. Money-losing is standard usage.

Humour on the Internet.

It is a lost art.
I always appreciate an Android fan who puts his energy into advertising Apple products.
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I always appreciate an Android fan who puts his energy into advertising Apple products.
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post #14 of 28
Quote:
Originally Posted by GTR View Post

Humour on the Internet.

It is a lost art.

I guess so. I don't get it. But I've missed Down Under humour before. I don't know whether it's you guys or me. Some time I gotta get down there and see if things look different.
post #15 of 28
Hmmm...this way Apple can enter the TV business without tipping their hand by buying tons of huge LCD displays.
"That (the) world is moving so quickly that iOS is already amongst the older mobile operating systems in active development today." — The Verge
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"That (the) world is moving so quickly that iOS is already amongst the older mobile operating systems in active development today." — The Verge
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post #16 of 28
Quote:
Originally Posted by Flaneur View Post

I guess so. I don't get it. But I've missed Down Under humour before. I don't know whether it's you guys or me. Some time I gotta get down there and see if things look different.

It does look different.

"That (the) world is moving so quickly that iOS is already amongst the older mobile operating systems in active development today." — The Verge
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"That (the) world is moving so quickly that iOS is already amongst the older mobile operating systems in active development today." — The Verge
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post #17 of 28
Quote:
Originally Posted by Macky the Macky View Post

Hmmm...this way Apple can enter the TV business without tipping their hand by buying tons of huge LCD displays.

This guy got it. Kudos.

Would someone care to tell me btw why is LCD such a losing business? Is the market over saturated or something?
post #18 of 28
Quote:
Originally Posted by myapplelove View Post

This guy got it. Kudos.

Would someone care to tell me btw why is LCD such a losing business? Is the market over saturated or something?

The better manufacturers are moving to AMOLED tecnology. LCD is outdated.
post #19 of 28
Quote:
Originally Posted by peter236 View Post

The better manufacturers are moving to AMOLED tecnology. LCD is outdated.

Amoled panels at such large sizes? Is that possible?

Edit:ignore question, googles my friend.
post #20 of 28
Quote:
Originally Posted by peter236 View Post

The better manufacturers are moving to AMOLED tecnology. LCD is outdated.

Really? So which manufacturers are making a 60" TV with AMOLED panel. Or even a 50" TV?

Read and learn:
http://www.oled-info.com/amoled
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Gatorguy 5/31/13
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"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
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post #21 of 28
Quote:
Originally Posted by jragosta View Post

Really? So which manufacturers are making a 60" TV with AMOLED panel. Or even a 50" TV?

Read and learn:
http://www.oled-info.com/amoled

...and this is a good read too. Much more informative.
http://reviews.cnet.com/8301-33199_7...at-is-oled-tv/
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melior diabolus quem scies
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post #22 of 28
Quote:
Originally Posted by jragosta View Post

Really? So which manufacturers are making a 60" TV with AMOLED panel. Or even a 50" TV?

Read and learn:
http://www.oled-info.com/amoled

You should read and learn.
http://www.theverge.com/2012/3/27/29...e-release-date

LCD will go the way of the dodo like CRT before it. Yes it's expensive out of the gate, so was plasma, wasn't all that long ago they were 10k. The OLED advantages (low power, no size or resolution limits) are outstanding and I've seen this TV at the Show, it's phenomenal and it's definitely the future. With flexible and transparent screens behind it, could see a lot of nifty things in the next 5-10 years.
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I'm not a pessimist. I'm an optimist, with experience.
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post #23 of 28
Quote:
Originally Posted by thataveragejoe View Post

You should read and learn.
http://www.theverge.com/2012/3/27/29...e-release-date

LCD will go the way of the dodo like CRT before it. Yes it's expensive out of the gate, so was plasma, wasn't all that long ago they were 10k. The OLED advantages (low power, no size or resolution limits) are outstanding and I've seen this TV at the Show, it's phenomenal and it's definitely the future. With flexible and transparent screens behind it, could see a lot of nifty things in the next 5-10 years.

I wouldn't be so quick to say LCD is an EOL tech. Plasma had more technological pros than cons over LCD and it never cornered the market the way LCD has. Price is a huge factor and LCD is still vastly cheaper.

But speaking strictly of tech has OLED conquered its issues? What's the longevity of the blue pixel? How do the display hold up over 1000, 5000, and 10,000 hours? How is the power usage for standard use, not just when displaying blacks? What is the colour accuracy, etc.?

PS: Apple has really outdone itself with the new iPad display but I have yet to see any 10" OLED-based tablets on the market. Based on the info about how we can make superior HDTV size OLED displays that use less power than LCD then why don't we see much smaller OLED displays for tablets and notebooks? It seems to be there is a lot of trumped up marketing and not much else at this point.

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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post #24 of 28
Quote:
Originally Posted by Flaneur View Post

Money-losing is standard usage.

Agreed.
post #25 of 28
Quote:
Originally Posted by SolipsismX View Post

I wouldn't be so quick to say LCD is an EOL tech. Plasma had more technological pros and cons over LCD and it never cornered the market the way LCD has. Price is a huge factor and LCD is still vastly cheaper.

But speaking strictly of tech has OLED conquered its issues? What's the longevity of the blue pixel? How do the display hold up over 1000, 5000, and 10,000 hours? How is the power usage for standard use, not just when displaying blacks? What is the colour accuracy, etc.?

PS: Apple has really outdone itself with the new iPad display but I have yet to see any 10" OLED-based tablets on the market. Based on the info about how we can make superior HDTV size OLED displays that use less power than LCD then why don't we see much smaller OLED displays for tablets and notebooks? It seems to be there is a lot of trumped up marketing and not much else at this point.

And in this case trumped up marketing meets "Apple is always wrong" ideology (Apple uses LCD not OLED therefore LCD is vastly inferior, OLED is the future, and Apple is once again stuck with outdated tech that they charge too much for).

I remember when a lot of folks were claiming that DLP projectors would quickly drive LCD out of the market. That never happened, because while DLP has advantages, LCD improved, plus delivers more lumen per dollar. Some markets prefer brightness over black levels.

OLED delivers better black levels, better power consumption under some scenarios and is much more expensive. It may or may not overcome some drawbacks and drop radically in price, but just because manufacturers are consolidating on the technology doesn't automatically mean it's the best for consumers-- just that it's better for the manufactures.

One incentive to change horses may be the collapse of LCD prices, and the difficulty making any money there. The new cool thing, with premium pricing, would be a shot in the arm for the panel fabs. None of that has a thing to do with what makes the best picture (and deep blacks aren't the only measure of PQ), and anyone assuming that this somehow proves that LCD is "outdated" isn't really paying attention.
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They spoke of the sayings and doings of their commander, the grand duke, and told stories of his kindness and irascibility.
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post #26 of 28
Quote:
Originally Posted by SolipsismX View Post

I wouldn't be so quick to say LCD is an EOL tech. Plasma had more technological pros and cons over LCD and it never cornered the market the way LCD has. Price is a huge factor and LCD is still vastly cheaper.

But speaking strictly of tech has OLED conquered its issues? What's the longevity of the blue pixel? How do the display hold up over 1000, 5000, and 10,000 hours? How is the power usage for standard use, not just when displaying blacks? What is the colour accuracy, etc.?

PS: Apple has really outdone itself with the new iPad display but I have yet to see any 10" OLED-based tablets on the market. Based on the info about how we can make superior HDTV size OLED displays that use less power than LCD then why don't we see much smaller OLED displays for tablets and notebooks? It seems to be there is a lot of trumped up marketing and not much else at this point.

It's certainly not a lot of trumped up marketing and don't be dismissive if you don't have the full education on it. I've physically seen the 55in TV. It's not something you can write on, you have to see. The difference is vast, and real. Plasma is still more expensive than LCD and will stay that way as the nature of the beast of both technologies. OLED as it ramps up will eventually be cheaper than both as the production moves to laser by nearly all accounts, at some point, but likely several years away. This TV is rated for 30,000 hours. It's white pixels with 4 sub pixel arrangement (obviously not Pentile crap). LG made mention it uses on average 50% less power than a comparable LCD TV. It also includes some type of Kodak color refining tech that allows you adjustments to your liking, but I did not see that in person.

Why doesn't every laptop ship with a SSD yet? Because it's still expensive that's why. Same in this case. OLED is still relatively new compared to the billions that have been spent on LCD research over the last decades. As the costs come down you will see it in more places. For now LCD is good enough and the costs are more practical but the writing will ultimately be on the wall.
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I'm not a pessimist. I'm an optimist, with experience.
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post #27 of 28
Quote:
Originally Posted by thataveragejoe View Post

It's certainly not a lot of trumped up marketing and don't be dismissive if you don't have the full education on it. I've physically seen the 55in TV. It's not something you can write on, you have to see. The difference is vast, and real. Plasma is still more expensive than LCD and will stay that way as the nature of the beast of both technologies. OLED as it ramps up will eventually be cheaper than both as the production moves to laser by nearly all accounts, at some point, but likely several years away. This TV is rated for 30,000 hours. It's white pixels with 4 sub pixel arrangement (obviously not Pentile crap). LG made mention it uses on average 50% less power than a comparable LCD TV. It also includes some type of Kodak color refining tech that allows you adjustments to your liking, but I did not see that in person.

Why doesn't every laptop ship with a SSD yet? Because it's still expensive that's why. Same in this case. OLED is still relatively new compared to the billions that have been spent on LCD research over the last decades. As the costs come down you will see it in more places. For now LCD is good enough and the costs are more practical but the writing will ultimately be on the wall.

The thing about making predictions about this or that tech-killer is that one doesn't have to be intimate with a specific product in order to understand how technology markets work. You may be right, this might be the first OLED tech that will decimate the LCD market at some unspecified time in the future, but you there is nothing you've written that has indicated that is the case.

Specs alone certainly won't do it. We've seen time and time again that better specs do not equate to market dominance. You also can't go with a MSRP for a still pre-production premium product as an indicator of a trend.

How many can they produce compared to an LCD panel of the same size and relative quality for a specific production line? Are they selling it for a profit, or at or below cost as a marketing ploy and/or a retail reproof-of-concept? You should be asking such questions and more. It doesn't me this is the next big trend but it does mean they are trying to make it the next big trend. More power to them, but don't get caught up in the hype.

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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post #28 of 28
Quote:
Originally Posted by addabox View Post

And in this case trumped up marketing meets "Apple is always wrong" ideology (Apple uses LCD not OLED therefore LCD is vastly inferior, OLED is the future, and Apple is once again stuck with outdated tech that they charge too much for).

it's unfortunate that a tech can seem inferior simply because the same acronym is utilized. How many years have been hearing that Apple is stupid for using LCD over OLED?

What really grates on me is when people say the 4:3 aspect ratio of the iPad is antiquated. I can not wrap my head around how the measure of x and yaxes can be antiquated.

Quote:
One incentive to change horses may be the collapse of LCD prices, and the difficulty making any money there. The new cool thing, with premium pricing, would be a shot in the arm for the panel fabs. None of that has a thing to do with what makes the best picture (and deep blacks aren't the only measure of PQ), and anyone assuming that this somehow proves that LCD is "outdated" isn't really paying attention.

That 55" HDTV theaveragejoe posted is 1080p and appears to be 16:9. That means it has a PPI of just 40 and you'd have to sit over 7" away to retain that "retina display" effect if you have 20/20 vision.

It seems to me that higher resolution displays may be creeping into common HDTVs within a couple years. This can certainly be marketed. Can OLED also match a jump to 2k and 4k displays as easily as LCD seems to do it? So far, even on the small scale the only OLED displays shipping in quantity that come to close to the iPhone 4 from 2010 are using Samsung's PenTile display tech which is 1/3 fewer sub-pixels. It's a good solution for saving power but it's certainly not ideal.

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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