Posted 05/22/2015 at 9:10 AM
Posted 2 years ago
It was reported that the Innovation Network Corp. of Japan is prepared to turn down the request from Sharp Corp. for investment funding in a new LCD-production company.
Their reasoning behind the rejection is that they don’t want to run afoul of Apple and stir up opposition from antitrust regulators.
Their fears are also bolstered thanks to their backing of Japan Display Inc. which supplies liquid crystal displays to multiple companies including Apple and Sharp.
Japan Display was formed from the combination of screen-development units from Toshiba, Hitachi and Sony and a 200 billion yen investment from INCJ.
And regulators have nixed a prior deal worth close to $10 billion between Applied Materials and Tokyo Electron Ltd.
While INCJ hasn’t firmly decided to outright reject Sharp’s entreaties, it does come at a tough point for Sharp who is looking to downsize their workforce by 10 percent after losses in the last quarter.