Panasonic to exit TV market, hopes to build LCD panels for Apple's iPad - report

Posted:
in iPad edited January 2014
A new report claims Panasonic plans to leave the TV business and will instead focus on creating LCD displays for smaller devices, particularly Apple's iPad.

The details come from Japanese business newspaper Diamond Online, which were translated by Macotakara on Tuesday. It indicated that although LCD TV sets were the main product line for Panasonic, the company apparently plans to exit that business.

In its place, Panasonic reportedly hopes to make its way into the more profitable business of building LCD panels for portable electronics. In particular, Panasonic is said to be interested in finding its way into Apple's supply chain for the iPad.

Panasonic has allegedly already provided sample high-resolution LCD panels to Apple. One person quoted from the company indicated that Apple "seems to be satisfied" with the samples it was provided.

Retina Display


Earlier this year, with the launch of the new iPad with Retina display, Apple experienced production issues. Suppliers were said to have struggled building the high-resolution screens Apple needed for its third-generation iPad.

For the launch of the new iPad, only Samsung was able to provide display panels for Apple. Both Sharp and LG were said to have joined in slightly later after resolving apparent yield issues with the new iPad's Retina display.
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Comments

  • Reply 1 of 57
    drblankdrblank Posts: 3,383member


    So who's going to make Plasma screens?  Samsung?  Samsung's plasma screens are iffy unless you pay through the nose for them.

  • Reply 2 of 57
    richlrichl Posts: 2,213member
    I would be very sad is Panasonic stopped making plasma TVs. I hope the rumours are false.
  • Reply 3 of 57
    Panasonic plasma screens are among the best. This is very bad news.
  • Reply 4 of 57


    Too bad if true.  Panasonic makes nice plasma screens.

  • Reply 5 of 57
    Please, dear God, no. Every Panasonic product I have ever owned stopped working after a few months. Their quality is lower than any I have ever seen.
  • Reply 6 of 57


    They better still be making plasma TVs or I will be very disappointed. I have a 5 year old Panasonic plasma that is still running great, and I'd like them to be there when I'm ready to upgrade

  • Reply 7 of 57
    wizard69wizard69 Posts: 13,377member
    Guys they said LCD.
  • Reply 8 of 57



    #next_pages_container { width: 5px; hight: 5px; position: absolute; top: -100px; left: -100px; z-index: 2147483647 !important; }
    While waiting for Apple to make an actual Apple TV, I bought a 47-inch Panasonic. It was far better, and a better value than any other company's model in that size range.


     


    Too bad they're giving up.


     


    Then again, if they can deprive Samsung of business...

    #next_pages_container { width: 5px; hight: 5px; position: absolute; top: -100px; left: -100px; z-index: 2147483647 !important; }

     
  • Reply 9 of 57


    Samsung needs competition™

  • Reply 10 of 57
    bagmanbagman Posts: 349member


    Hasn't LED pretty much replaced the high-end LCD displays anyhow?  The ads say that the "green" LED's are better energy-wise.  I still have my Sharp LCD, which continues to be amazing 5 years later.

  • Reply 11 of 57


    Maybe they are being a good supplier, who doesn't want to compete with a customer who they are going to supply panels for a TV set that said customer is going to unveil in a few months decided to drop their direct to consumer lines of that product.

     

  • Reply 12 of 57
    zoetmbzoetmb Posts: 2,587member


    I hope not because Sony has also said that they're going to "de-emphasize" the TV business.  If Sony and Panasonic leave the TV business, Samsung would become essentially a monopoly supplier (although there are still a few other minor players).   Also, as others have stated, Panasonic's Plasma sets are pretty damned good.    If they're only planning on existing the LCD consumer business, I suppose that's not so terrible, although I don't know how they would expect to make more of a profit selling to Apple, who is reputed to squeeze suppliers as hard as Wal-Mart, than selling to consumers, although their cost of sale would be eliminated (distribution/marketing/advertising). 

  • Reply 13 of 57
    tylerk36tylerk36 Posts: 1,037member


    A poor judgement call.  Why quit doing something that you know how to do well.  They would be better off venturing into both venues and if they are successful building panels for mobile devices then so be it.  They could then downsize the TV side of their manufacturing plant.

  • Reply 14 of 57
    jragostajragosta Posts: 10,473member
    tylerk36 wrote: »
    A poor judgement call.  Why quit doing something that you know how to do well.  They would be better off venturing into both venues and if they are successful building panels for mobile devices then so be it.  They could then downsize the TV side of their manufacturing plant.

    How would you know that it's a poor judgment call? If they're not able to make money on the business and can't find any way to monetize it, getting out of the business might be exactly the right decision. Since I assume that you were not part of the Board discussions, it is unlikely that you have enough information to know whether it's a good move or a bad one.

    I really wish people would stop acting like they know what companies should do - when they don't have access to any of the financials or marketing information - or even any business experience, apparently.
  • Reply 15 of 57
    charlitunacharlituna Posts: 7,217member
    I give it a week tops before the rumors of Apple buying Panasonics TV division for the 'real' Apple TV start
  • Reply 16 of 57

    Quote:

    Originally Posted by tylerk36 View Post


    A poor judgement call.  Why quit doing something that you know how to do well.  They would be better off venturing into both venues and if they are successful building panels for mobile devices then so be it.  They could then downsize the TV side of their manufacturing plant.



    if you don't make a profit at it, why do it at all.  You're not going to make it up on volume.  LCD (true LCD) TVs are at the 'knock off' level.  No real money building something that sells for $300 that 5 competitors sell at $250.  IT's a TV...  


     


    Keep the high end Plasma and generate a steady profit stream being an Apple supplier.  Toss the loss leader stuff, that most 'brands' outsource to crap contract houses anyway.


     


    Contrary to what people feel, if Apple makes you an offer (and it seems they are buying capacity) they typically make it worth your while.   They pay cash, on time, and often pay for your capacity, and pay a premium for ability to deliver.

  • Reply 17 of 57

    Quote:

    Originally Posted by Bagman View Post


    Hasn't LED pretty much replaced the high-end LCD displays anyhow?  The ads say that the "green" LED's are better energy-wise.  I still have my Sharp LCD, which continues to be amazing 5 years later.



    Yes. in TV's it's the back light that's LED vs flourescent.   The 'color' is still LCD technology.  


     


    LED uses a lot less electricity (like 50% less) than 'std' LCDs and has fewer ugly metals.  Put your hand on an LED screen vs an 'LCD' screen at your big box store and you can feel the difference.

  • Reply 18 of 57
    moxommoxom Posts: 326member

    Quote:

    Originally Posted by charlituna View Post



    I give it a week tops before the rumors of Apple buying Panasonics TV division for the 'real' Apple TV start


    We can only hope... image

  • Reply 19 of 57
    cgjcgj Posts: 276member


    We had an old Panasonic 'fat-back' CRT display for our television. My mother bought it in 1994 and had two kids (so as you can imagine, glue, paint, glitter all coating its exterior). It only stopped working in late 2006/early 2007. Even to its last day it'd power up within five seconds, best telvision ever.


     


    This is sad news.

  • Reply 20 of 57
    gazoobeegazoobee Posts: 3,754member

    Quote:

    Originally Posted by drblank View Post


    So who's going to make Plasma screens?  Samsung?  Samsung's plasma screens are iffy unless you pay through the nose for them.



     


    Panasonic is the only company that makes TV's with decent built-in sound also.  All the rest force you to use an amp and buy a whole speaker package just to get any kind of reasonable sound quality. 

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