Samsung, LG to cross-purchase LCDs
Market forces can make for strange bedfellows, as shown by the LCD cross-purchasing deal struck between Samsung and LG. Although the two Korean companies do battle in the LCD arena (and several others, too), they have agreed to purchase specific LCD panels from each other. Samsung will buy 37-inch panels from LG, and LG will return the favor by picking up 57-inch panels from Samsung. This is a distinct shift away from the former Taiwanese suppliers used by Samsung and LG for these sizes. Exact volumes and pricing have yet to be decided, but it's safe to assume that this deal is about a lot more than just national pride. We'll be curious to see if this marks the beginning of a three-way price stratification between panels from Japan, Korea, and Taiwan.