Philips Flat Panel Displays Systems Inc has gone to Korea’s LG Semicon Co to supply active matrix LCD active matrix flat panel displays for monitors, notebooks and automotive displays. Philips already has a supply deal with Japan’s Hosiden Co, but needs additional supplies, especially for larger, 15.1-inch displays. While there is a current oversupply in the LCD display market, industry observers predict a shortage could emerge late this year or early next. Over-supply in recent years was a result of poor notebook sales and wide-scale price cutting on 12.1-inch LCDs (CI No 3,379). There is speculation that Philips might be considering a wider collaboration with struggling LG Semicon, which has put plans for next-generation flat panel display plants on hold due to the current economic situation. LG and its rival Hyundai Electronics Co, which has a separate thin-film transistor liquid crystal display business, are currently discussing merger plans, although it’s by no means certain if any such deal will ever be completed.
