Electronics Production | July 27, 2012
Samsung and Corning sign USD 600M deal
Terry Gou stated that Apple and Foxconn were signing an agreement that would -seemingly - lock out all competitors of the iPhone.
Apple was apparently making a deal with Sharp and with Corning which would prevent Apple’s competition from even being able to get glass for their phones. So to speak. Although rumours claim that Apple will being using a new thinner LCD panel, but those displays will not be Sharp exclusive it seems, as Japan Display as well as LG Display make the same kind of panels. To add injury to insult, Samsung and Corning just announced a USD 600 million deal. The companies just signed a "Memorandum of Understanding with the government of Wuxi New District, China, intending to establish a new equity venture for the manufacture of TFT-LCD glass substrates in China. Pending a final signed agreement between Corning and Samsung Display, the new equity venture is expected to be formed later this year, subject to receipt of regulatory approvals." The new entity - called Samsung Corning Precision Materials - will supply LCD glass substrates to Samsung Suzhou LCD Co., Ltd. in China. The new company will invest in phases over the next few years as stages of the facility - with Gen 8 (2,200 x 2,500 mm) glass-melting and finishing capability - are constructed and brought online. Construction of the facility will start by the end of 2012, with production expected to begin at the end of 2013, in time to meet demand for the start-up of Samsung Suzhou LCD. An exclusive deal between Apple and Corning seems now very unlikely.