Sharp and NEC have announced that they will create a Joint Venture. With this, they will combine their display divisions to grow and achieve a stronger position within the market for this type of key components. Notably, it will be the NEC Display Solutions or NDS division, a subsidiary of NEC, which will be part of the joint venture with Sharp.
With this union, both companies hope to combine their experience and panel production capacity. On the one hand, Sharp has a wide catalog of professional and commercial solutions, including new next-generation 8K panels. In contrast, NEC, with its NDS division, also has extensive experience in different display markets for professional and home environments. They also hope to create new product lines by combining technologies like 5G with 8K displays to develop an ecosystem of combined panels.
NEC Display Solutions and Sharp
With the alliance of new agreement, NEC will transfer 66% of the NDS property to Sharp and retain a 34% interest in the business. The joint venture will continue to provide NEC-branded products. Moreover, NEC has stated that it would continue to sell the joint venture’s products and solutions to its customers worldwide. The transfer is scheduled to conclude on July 1, 2020.
This joint venture will continue to deliver products under the NEC brand. Its managers believe that, with the collaboration. They will be able to focus on “customer satisfaction”. Since “Sharp and NEC Display Solutions follow the same strategic approach,” according to the president of the latter, Hisatsugu Nakatani.
For his part, Fujikazu Nakayama, senior executive director of Sharp Corporation. Hopes that “this agreement will result in a wide range of synergies. Such as economies of scale and commercial expansion in new categories, including an 8K panels + 5G ecosystem.”
NDS and Sharp are two leading companies in the industry in the production and development of display panels. The Sharp-NEC alliance are one of the biggest joint venture, which will allow both companies to develop their strengths. And address the visualization needs of their global clients.