According to Korea Herald website reports, Samsung Electronics is in talks with LG Electronics, will buy each other's LCD panel for their own TV business if the two sides reached a cooperation agreement, which will be the first time in the history of Samsung Electronics LG This old rival panel, such cooperation is very rare.
It is reported that Samsung LG LCD screen procurement, will be released early next year, the new TV.
Samsung Electronics and LG Electronics are among the best consumer electronics companies in the world. The two companies have very similar industrial layouts and have countless product lines ranging from LCD panels to home appliances, smartphones and televisions, as well as upstream Zero Most parts of the self-sufficient strategy.
The cooperation between the two parties stems from Foxconn Group before the cancellation of Samsung LCD screen supply.
Earlier, Samsung Electronics was once a shareholder of Japan's Sharp Corp., which supplied LCD screens to Samsung for a long time, but only announced last year that it would stop supplying Samsung Electronics with screens after its acquisition of Sharp.
On the one hand, Foxconn Group and Terry Gou are determined to revive the historic TV business of Sharp, announced that it will increase the annual sales volume from 5 million units to 10 million units, so Sharp needs to provide more LCD screens to their own TV departments.
On the other hand, it is well-known that Foxconn and Samsung Electronics are rivals, and Foxconn and other Taiwanese electronics industries are worried that Samsung's unlimited expansion in various raw materials, components and consumer electronics sectors is making the technology industry in Taiwan no way out May go, after Terry Gou also said that Taiwan should be combined with Japan's consumer electronics companies to jointly prevent Samsung's further expansion.
Sharp's supply cut led to a loss of 3 million screens per year for Samsung's TV business, after which Samsung began negotiations with LG Display, a unit of LG Electronics.
Samsung Electronics said that at present and LG are still in the process of negotiation, have not signed the final cooperation agreement.
According to industry rumors, Samsung Electronics hopes to get 700,000 LG display screen supply, but the number was reduced to 100,000, the two sides are still bridging their differences.
Samsung Electronics, the world's largest maker of television sets, sells 45 million TVs a year, and from this size it can be seen that the displays supplied by LG make up a small percentage of total Samsung production.
An executive at Samsung revealed that the timing of the negotiation between the two parties was longer than expected mainly due to different LCD panel technologies and specifications. If Samsung eventually purchased LG's screen, a brand new TV model will be developed , Fully compatible with LG's panel technology.
Industry sources said that Samsung is most likely to use the LG screen on 40-inch to 60-inch TV models.
Samsung and LG are global television manufacturing giants, industry sources said that if we can achieve panel procurement cooperation, the global television market is also expected to ease the friction.
After the market was eliminated, LG and Samsung became the two leading consumer electronics giants in Korea, both of which are widely sold in the global market. In order to compete for the market, the two South Korean companies used to have a large number of disputes and patent litigation in the past.
Earlier, Samsung Electronics South Korea also filed a complaint that LG employees in Germany, a home appliance store deliberately broken Samsung washing machine.In addition, many household appliances and other product categories, Samsung and LG have also been around the world who launched the first countless Speaking mouth war.