Sony is reportedly planning to invest more than $1.1 billion in a LCD TV panel venture with Sharp, making good on their word from a year ago. The electronics giant announced last year that it planned to join forces with Sharp to manage a $4-plus billion LCD panel factory in western Japan.
While Sony initially planned to take a 34% stake in the endeavor, the companies have yet to outline a final agreement on the stake and investment split. Both reportedly plan on closing the deal by the end of this month. Sony’s upfront investment is expected to be between $527.2 and $632.64 million, and will gradually rise to (or beyond) $1.1 billion. The hope is that the deal will secure it enough panels for the rapidly growing LCD TV market.
The plant, located in Sakai Japan, will be the world’s first to handle 10th-gen glass substrates, which are larger than previous generations and reduce production costs per panel. Operations at the location are expected to commence in October.