Sony, Hitachi, Toshiba merge, sell phone display businesses
Newly formed Japan Display gets Panasonic factory too
Sony, Hitachi and Toshiba are to sell off their respective mobile display production operations.
The three companies' mobile display businesses will be merged into a new entity, Japan Display, to be majority owned by Innovation Network Corporation of Japan (INCJ).
INCJ is also buying one of Panasonic's factories for producing small- to medium-sized LCDs for Japan Display to use.
INCJ will own 70 per cent of Japan Display, for which it is paying Sony, Hitachi and Toshiba a combined ¥200 billion (£1.6bn). The other three will each get ten per cent of JD's shares.
INCJ describes itself as "a public-private partnership that provides financial, technological and management support for next-generation businesses". Essentially, it's a tool the Japanese government uses to provide funding for local industry, but it also steered by many of the county's biggest companies and banks. ®