Take our user survey and make your voice heard.
business

Sharp to stop making LCD at Osaka plant, end TV panel output in Japan

10 Comments

Sharp Corp said Tuesday it will halt production of large liquid crystal display panels by the end of September at its plant in Osaka Prefecture, the only television LCD panel manufacturing factory in Japan.

The sole operator of LCD television panel factory in the country plans to transform the facility run by its wholly owned subsidiary Sakai Display Products Corp into a data center, it said.

The decision comes as Sharp, a unit of Taiwan's Hon Hai Precision Industry Co, incurred a net loss for the second straight business year ended March due to its struggling LCD panel operation in the face of intensified competition with Chinese and other rivals.

The manufacturer of home electronics, office equipment and electronic devices booked a net loss of 149.98 billion yen on sales of 2.32 trillion yen, down 8.9 percent.

The company also announced its midterm business plans, aiming to streamline part of its electronic device business in addition to the LCD production and strengthen its home appliance and office equipment businesses by incorporating artificial intelligence technologies.

In Japan, Sharp also produces small- and medium-sized LCD panels for vehicles and tablets in Ishikawa and Mie prefectures. The company said it plans to scale down the LCD operation and sell off its semiconductor business.

Sharp CEO Wu Po-hsuan said in an online press conference his company plans to eventually sell off the remaining LCD business but Sharp later corrected his remark, saying it will actually sell its semiconductor business.

He added it is aiming to increase sales of LCDs for cars and virtual reality display products while offering incentives to encourage workers to retire early at some of its LCD plants, but it still expects the display panel business to incur a loss for this financial year ending next March.

The money-losing LCD subsidiary was a major contributor to the parent company's over 260 billion yen net loss in the previous business year to March 2023, causing Sharp to post a red number for the first time in six years.

Amid the difficulty, Sharp has unsuccessfully explored the sale of the subsidiary, leading the Japanese electronics company to halt production, sources with knowledge of the matter said.

For the current business year, Sharp expects to log a net profit of 5 billion yen.

© KYODO

©2024 GPlusMedia Inc.

10 Comments
Login to comment

Sharp televisions being “made in Japan” was always an important factor in the purchase decision for many Sharp owners that I have spoken to. I wonder how that group will pivot. Many good options out there.

4 ( +6 / -2 )

LCD=OLD

-5 ( +1 / -6 )

Similar to the previous comment, I remember when it was a big deal if you could get a Sharp TV from the Kameyama plant- Sharp would even put stickers on the front of the TV proudly displaying this fact. Looks like those days have come and gone.

5 ( +7 / -2 )

So,Sharp closes in Japan and opens another plant in China or Thailand making the same products.

The manufacturing base in Japan is soon becoming as dead as the dodo.

-8 ( +2 / -10 )

It can’t be the stagnantly low Japanese salaries directing this move.

-3 ( +3 / -6 )

No wonder that Japan's economy is down to toilet. All the major electronics fa Tories, the engines of Japan's economy, looks like are going the way of the dodo.

Except overly expensive Sony, the TV market in Japan seems to die or give up to Chinese and Korean products, same as the semiconductors, IT , etc. First was Panasonic, then Hitachi, now Sharp.

What happened to Japan?!?

-7 ( +4 / -11 )

Except overly expensive Sony, the TV market in Japan seems to die or give up to Chinese and Korean products,

Go into Yamada Denki Namba and tell me if you can even buy an old LCD TV. Sony QD-OLED TV (Korean panel) is what people want to buy. In a store like YD, where all the offerings are lined up side by side, no brainer Sony QD-OLED TVs are the go to for new TV buyers.

-1 ( +1 / -2 )

It saddens me a little. I remember back in the day, owning a Sony Trinitron or JVC CRT was a big deal. Made in Japan, obviously. Later came Pioneer Kuro plasma and pretty much, that was it for Japan regarding TVs.

As it is now and it has been for a decade already, LG OLED all the way.

I wonder why Samsung TVs could never be found at any Japanese store. Were they banned or something?

2 ( +2 / -0 )

I wonder why Samsung TVs could never be found at any Japanese store

Sony has a secret sauce. Go look at the latest Sony TV, IMHO extremely good, whether it's calibration, or rendering hardware, or image orocessing...who knows, they're just extremely good (despite using Korean panel).

Or put it another way, the reason Chinese TV are crap and inconsistent is because they don't allocate sufficient time on the production line to calibrate.

-2 ( +1 / -3 )

Torelol

It saddens me a little. I remember back in the day, owning a Sony Trinitron or JVC CRT was a big deal. Made in Japan, obviously. Later came Pioneer Kuro plasma and pretty much, that was it for Japan regarding TVs.

Nope. Panasonic plasma was up there with Pioneer Kuro. And, once Pioneer pulled out, Panasonic plasma was better than any LCD TV at that time. Eventually, Panasonic stopped making plasma TV's due to both the expense and poor eco performance.

2 ( +2 / -0 )

Login to leave a comment

Facebook users

Use your Facebook account to login or register with JapanToday. By doing so, you will also receive an email inviting you to receive our news alerts.

Facebook Connect

Login with your JapanToday account

User registration

Articles, Offers & Useful Resources

A mix of what's trending on our other sites