Matsushita, Toshiba to merge CRT operations

Matsushita Electric Industrial (MEI) and Toshiba plan to merge their cathode ray tube (CRT) operations, the companies said Thursday. Matsushita separately announced further details of its reorganization.

Matsushita, best known for its Panasonic brand name, and Toshiba plan to establish a CRT joint venture by the end of March, the end of the financial year in Japan. The new, yet to be named joint venture, will be held 60 percent by Matsushita and 40 percent by Toshiba. It will be headquartered in Osaka, where Matsushita is based, the companies said.

The merged operations of the two companies will represent the third-largest CRT company in the world and will focus on display tubes for TVs, they said.

CRTs are facing intense competition from LCDs (liquid crystal displays) and PDPs (plasma display panels.) More competition from new display technologies such as OELD (organic electroluminescence display) is on the horizon. Despite this, Matsushita and Toshiba estimate the global CRT market will see annual growth of 2 percent to 3 percent.

"Considering advantages such as its cost and brightness, CRT is still one of the most important display devices," said Kunio Nakamura, president and chief executive officer (CEO) of Matsushita, at a news conference in Osaka on Thursday.

The joint venture will operate globally, but will focus on the Chinese and South-East Asian markets, Nakamura said. "We expect the Chinese market will rapidly grow by the time Beijing hosts the Olympics in 2008," he said, adding that in China and South-East Asia growth may also be helped by a possible start of high-definition broadcasting.

"We decided to merge this business in order to survive in highly competitive market," said Tadashi Okamura, president and CEO of Toshiba.

This merger will result in Matsushita's and Toshiba's second display joint venture. The Japanese companies merged their LCD (liquid crystal display) divisions into Toshiba Matsushita Display Technology Co. Ltd., in April this year. At this point, the two companies have no plan to merge other display units, such as PDP, Nakamura and Okamura said.

Matsushita separately announced Thursday the latest step in a reorganization plan that was announced earlier this year.

Matsushita Communication Industrial Co. Ltd. (MCI) and office equipment maker Kyushu Matsushita Electric Co. Ltd. are to become wholly owned group companies through share exchanges on Oct. 1. The organizations are two of the biggest companies in the Matsushita group and bringing them back under the full ownership of Matsushita is crucial to future stages of the plan, Matsushita said.

At present, the three companies compete with one another in some fields and overlap in research, development and product planning functions, Matsushita said.

As a result of the move, the operations of MCI will be combined with the communication equipment sales unit of MEI under the name "Panasonic Mobile Communications Co. Ltd." on Jan. 1, 2003, Matsushita said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Show Comments



Sansai 6-Outlet Power Board + 4-Port USB Charging Station

Learn more >



Back To Business Guide

Click for more ›

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?