Sony Corp. is pulling out of its LCD manufacturing partnership with Samsung, the company announced today. Samsung will pay $939 million for Sony’s share. The S-LCD joint venture was set up in 2004. The move is expected to save Sony about $640 million a year and will allow it to buy LCD panels from other makers at competitive prices. Sony originally invested to ensure a steady supply of LCD panels for its TVs during a periond of shortages. Samsung has surpassed Sony to as the No. 1 seller of TVs. LG is No. 2, Sony is No. 3. Sony’s TV manufacturing operation has lost money for seven straight years. Sony’s movie and TV studio business remains in the black, but the company overall has forecast its fourth straight annual loss. Analysts believe shedding the LCD manufacturing stake is a good move that should allow Sony CEO Howard Stringer to concentrate on turning around Sony’s TV manufacturing business. Stringer previously announced $8.4 billion in acquisitions to bolster profits on mobile phones. Sony still faces a steep uphill battle with its tablet computers designed to compete with Apple’s iPad.


Maybe they’ve changed their repair problems but it used to be that Sony Tvs could only be fixed if you sent them in (or took them in) to a verfied SONY repair center. That was an issue for us not purchasing an item previously.
It is truly sad to see this once most influential technology power house…slowly fade away from profit and vision..
Sony used to be what Apple is today.
Never did any of my 30 years of Sony televisions ever require service. They were the best…long, long ago.
The Sony name used to mean quality years and years ago. So will they be buying cheap quality Chinese panels now to save a few bucks?
I made one of the first large screen TV’s, well large for the time 72″ out of a Sony 20″ tube TV a lens, a cone and a switch that reversed the picture and turned it upside down, when played thru the lens you got a 72” picture on a screen mounted on the wall.
While I don’t use it much now, it still works as a TV 40 years old. I have it out in the garage; the TV is 40 years old. I still have one of the first Sony BetaMaxes, a 30 pound unit.
If Sony isn’t careful they will wind up like Eastman Kodak.
Funny, I just sent a letter to Sony in regards to its’ decline in quality. Have bought Sony products, mainly electronics, since the 1970s, but the last three purchases in the past few years have been major disappointments. Where you use to expect quality and durability in their products now there is neither. So I told them goodbye. No longer going to buy anything with their name on it. Not worth it. Sad, they use to be a great company and when you bought Sony you knew you what you were getting. 40 years, millions of dollars in advertising and they lost a loyal customer by selling *#@$. Oh well.
Sony’s tvs have been overpriced garbage for awhile now, which is odd as they are using the same high quality panels as Samsung. Their problem lies with whomever is building the video processors for their sets, as you can put a Sony tv side by side with a Samsung that’s using the exact same panel, but the picture quality is night and day. As if that disparity wasn’t enough, when you look at the pricetag of the Sony, and find out it’s actually a couple hundred dollars more than the Samsung, it’s just plain comical.
Hi,
As well as access to competitive supply, it might also have to do with the investment that Sony has made in OLED technology which will be with us within the decade and probably replace all other display technologies eventually.
Howard Stringer seems to be consolidating and streamlining the company, lining up all the ducks in a row, as with Sony Ericsson mobile and other assets.
As well as the media production and channels business, there’s also the great success of the Playstation 3.
The great problem in recent years for Sony has been the lack of a single visionary leadership without worry about multiple internal conflicts, but the ground seems to be being laid for Kaz Hirai to become just that with a better directed ship.
Kind regards,
Shakir Razak
What was missing from that article that feel is very important was Sony’s multimillion investment in a new OLED factory. Do not count them out yet. These OLED sets far surpass LED, in black levels, thinness and power consumption. Also, Sony is the leader in 4K projection in the cinema and soon in the home.