TOKYO—Sanyo Electric, a leading electronics manufacturer in Japan, and Eastman Kodak Company, on 4 December announced they will set up a joint venture for developing an organic light emitting diode (OLEC) on 21 December. The OLEC is winning much attention in the market as the next-generation display for cellular phones and panel televisions.
According to both firms, the joint venture, to be called S.K. Display, will launch mass production of the OLEC in February. Sanyo will have a 66-percent stake in the firm, which will be capitalized at 50 billion yen (US$398 million), and Kodak will hold the remaining 34 percent.
Kodak holds essential patents for the OLEC. Through the alliance with Sanyo, Kodak is targeting to have leadership in the OLEC business. The joint venture is aimed at having 70 billion yen (US$557 million) in sales in 2005.
NEC, the leading handset manufacturer in Japan, once employed the OLEC for NTT DoCoMo’s FOMA handset. However, the firm did not use the OLEC for its latest FOMA model handset because of the high costs of OLEC.
