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LG, Hyundai desparate for European LCD partners

South Korean government hunting them

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South Korean companies are desperately hunting for European companies to take over their LCD operations as they seek to escape heavy government penalties. Hyundai and LG Semicon, which both have LCD operations, are now under a geas from President Kim to sort out the problem which has prevented any chip merger. Both companies have until the 30 November to sort out their differences, which have so far fought off government attempts to arbitrate. Reports on Japanese and South Korean wires said today the divestment of their LCD operations might be the key. LG had pointed to a European company as holding the key. But Bob Raikes, a senior analyst at Meko, said: "Who would it be? Siemens? Or Philips? I don't think so." But a source close to the South Korean government told The Register today that their efforts to divest their LCD businesses was "too little and too late". Both LG Semicon and Hyundai Electronics declined to comment. ® Click for more stories Click for story index

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