JointVenture
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Sony sells a chunk of its Olympus stake for a fast buck
Kaz Hirai's plans to save Sony have run from integrating its many disparate business units through to just selling off everything, even the stuff that's nailed down. Now, the company is getting rid of half of its stake in Olympus in the hope of raising some extra cash for "growth investments." Sony took a $645 million stake in the one-time rival back in 2012 as an attempt to get in on Olympus' lucrative medical imaging business -- which was spun off into a joint venture. Sony may no longer be Olympus' biggest shareholder, but the pair will still collaborate on healthcare and imaging devices. Someone should tell Hirai that he'd better spend this money wisely -- he's running out of things to sell. [Image Credit: Koji Sasahara/Associated Press]
SoftBank puts $250 million toward joint movie venture with Legendary
Just days after reports circulated that SoftBank was looking to nab DreamWorks so it could tap into the movie biz, the company is investing elsewhere. Today, the Japanese outfit announced that it's forming a "strategic partnership" with another film studio: Legendary Entertainment. SoftBank is putting up $250 million to back the endeavor, aiming to push the movie maker's content over the web and on mobile devices -- focusing on the China and India markets in particular. If you're in need of a refresher, Legendary is the muscle behind films like Man of Steel, The Dark Knight Rises, and Inception. Variety reports that SoftBank's talks with DreamWorks stalled during the course of discussing a rumored $3.4 billion acquisition deal.
Following Microsoft, Sony's PlayStation business officially enters China
It's only been about a month since Microsoft announced that it'll be bringing the Xbox to China come September, courtesy of the local government lifting its somewhat lax ban on imported video games and consoles. Today, Sony finally confirmed that the PlayStation will indeed be joining Redmond's console in the Far East. Just like Microsoft's collaboration with China's BesTV, Sony's also working with a local company called Shanghai Oriental Pearl Culture Development (OPCD in short). As pointed out by Sina Tech, the interesting thing is that both BesTV and OPCD are part of the massive Shanghai Media Group.
Samsung acquires 7.4 percent of Gorilla Glass maker Corning, signs long-term supply deal
In a move that could raise eyebrows in the LCD business, Corning has taken full control of Samsung Corning Precision Materials Co. Ltd., a joint venture 43 percent owned by Samsung. In exchange, the Korean company will get $1.9 billion worth of preferred shares in Corning, which if converted, would give it a 7.4 percent stake. The pair have also agreed to a deal that will see Samsung Display supplied by Corning through 2023. That company's Gorilla Glass is used in most high-end smartphones and tablets, including those made by Samsung, Apple, HTC and Motorola. Since the Korean giant already supplies most of its competitors with LCD displays and other components, we can imagine some of them casting a wary eye on such a deal.
ST-Ericsson joint venture begins dissolution process, 1,600 jobs gone in the process
It's typically a bad sign when a major semiconductor company sees its CEO walk away, and no one in adjoining offices stops to do anything about it. Such is the case with ST-Ericsson, a (now) failed joint venture of STMicroelectronics and Ericsson. The two outfits have seemingly failed to find a suitor for the JV, leaving them with relatively few options -- poor ones at that. In a release posted today (and embedded after the break), the entity has stated that each partner company will take on some of the business, but around 1,600 jobs will be lost from the sectors that neither has interest in. ST-Ericsson was an attempt to jump-start a semiconductor business in Europe, but it actually hasn't turned a profit since forming in 2008. Ericsson will take on the design, development and sales of the LTE multimode thin modem products, including 2G, 3G and 4G multimode, while ST will take on the existing ST-Ericsson products, other than LTE multimode thin modems, and related business as well as certain assembly and test facilities. It's expected that the particulars will clear regulatory hurdles in Q3 of this year, and in order to make sure things go as well as they can in the interim, Carlo Ferro is being appointed president and CEO of the JV starting on April 1st.
Sharp and Qualcomm to team up for energy-efficient IGZO display venture
We already knew that Sharp's been asking around for some much-needed help recently, and now we can all breathe a sigh of relief, as Nikkei is reporting that said manufacturer has finally found a new friend to help co-develop its energy-efficient IGZO LCD panels. Set to announce as soon as Tuesday (presumably Japan time), the deal will involve Qualcomm initially throwing in five billion yen ($61 million) by the end of the year, with a double-down of another five billion yen after "sufficient progress has been made." There's no timeline yet on when (or if) a full investment would be secured, but if all goes to plan, Qualcomm will eventually hold nearly five percent of Sharp's stock, whereas Sharp will more or less get back the 10 billion yen it lost to Sony following the termination of their joint venture earlier this year. Additionally, Sharp will also share some of the IGZO magic with Qualcomm to help improve the latter's Pixtronix MEMS display technology. Not a bad way for the two companies to wrap up 2012, eh? Richard Lai contributed to this report.
Sony formally quits Sharp LCD joint venture, takes back every yen it invested
After Sony cut off its supply of capital to the ill-fated Sakai production plant that it jointly owns with Sharp, it became clear that the final goodbye may be little more than a formality. And here it is, in the form of a cold, resolute press release stating that Sony is selling its seven percent stake back to Sharp and taking back the 10 billion yen ($126 million) it originally invested. The only reason given is the "rapidly changing market for LCD panels and LCD televisions," which is a polite reference to the fact that profits from big TVs are well below what these companies predicted back in the heady days of 2008 and early 2009, when the impact of the global economic crisis loomed without yet being fully apparent. Fortunately for Sony, which is in the delicate stages of reform, the solid pre-nuptial agreement it had in place with Sharp should protect the company from having to revise its financial forecasts for the coming year -- not that those were particularly great in the first place.
Sony, Toshiba, Hitachi joint venture Japan Display fires up operations
The joint venture that is Japan Display agreed on its formalities back in November, and has now finally started operating. While Sony, Toshiba and Hitachi all have a 10 percent stake in the business, the main investment comes from the government-backed INCJ. The collaboration hopes to champion the middle- and small-sized display sector, and has around 6,200 employees, and ¥230 billion (about $2.8 billion) of capital to help it on its way. Now that the wheels are finally in motion, an announcement of its operational divisions, which include "Mobile Business" and "Automotive" hint at what we might expect from the business going forward. Assuming no one sells up that is.
Fujitsu buys out Toshiba's stake in mobile joint venture, division now called Fujitsu Mobile Communications
April 2, 2012: a great day to officially wash your hands of an unprofitable business. On the heels of Philips stuffing its TV biz into a joint venture, Fujitsu announced it has bought out Toshiba's stake in Fujitsu Toshiba Mobile Communications (just like we knew it would). Fujitsu already had a controlling 80.1 percent interest in the company, so this doesn't exactly mark a seismic change in management. Still, with that final 19.9 percent it's now a fully owned subsidiary of the Fujitsu Group, and has been rechristened Fujitsu Mobile Communications. We've got the PR below, but unless you want to know how much capital the division has (¥450 million, to be exact), we think we've got you covered on the facts.
Samsung, NTT DoCoMo, et al. cancel plans for LTE chip joint venture
Looks like the decision to not make a decision has... well, created a decision. Back in December of 2011, NTT DoCoMo, Panasonic, Samsung and a smattering of other Japanese firms put their heads together in order to launch a joint venture to manufacture and sell ICs for mobile devices. Communication Platform Planning Co. was actually established with the goal to hawk these LTE semiconductors, but now that a consensus on how it'd all play out wasn't reached by the March 2012 deadline, it'll be liquidated in June. Reportedly, DoCoMo even set aside some $5.4 million to set up the now-defunct subsidiary, but now it's all for naught. The entire press release is embedded just after the break, though it's about as light on deets as they come.
Philips transfers TV business to a joint venture with TPV Technology, TPV takes the controlling stake
It took almost exactly a year, but Philips is finally free of its pesky, money-losing TV problem. As planned, the company transferred its television business into a joint venture with Hong Kong-based TPV Technology called TP Vision -- an arrangement that endows TPV with a controlling 70 percent stake. (Philips will still receive royalties on top of whatever it earns through this venture, and plans to sell Philips-branded sets in the US through a separate partnership with Funai.) Though the deal was first detailed a year ago, Philips only announced today that the transaction had closed. Now that it has, the newly formed company will produce Philips-branded TVs in a bid to make it one of the "top three players," according to TP Vision chief Maarten de Vries. As you'd expect, all of the 3,300 employees that previously fell under Philips' television division will now be in the employ of TP Vision, and Philips' various manufacturing sites have been transferred over too. All of that and a healthy dose of rah-rah in the full PR below.
Sony and Sharp joint venture hits a rocky patch, Sony cuts off capital
When Sharp sold off some of its LCD manufacturing business to Hon Hai Precision we knew the company had fallen on tough times, we just didn't realize how bad things truly were. That joint venture it formed with Sony, well, it's all but over at this point. The two companies have amended their deal with each other and Sony has decided not to inject any more capital into the project. That's not entirely surprising since the relationship was already starting to show signs of strain, but the partnership could crumble at any moment. A study period has been designated, through the end of September, to decide what the future holds for the two regarding the production and purchase of large panel LCDs, but at any time Sony can simply demand that Sharp buy back its shares and leave the venture. For Sharp's sake, we certainly hope Hon Hai is in this for the long haul. Check out the legalese stuffed PR after the break.
Sony finalizes divorce with Ericsson, renames itself Sony Mobile Communications
More than half of America's married couples will tell you, breaking up is hard. Hard and expensive. After living in denial, dodging rumors and eventually coming to terms with the inevitable, Sony has finally taken over Telefonaktiebolaget LM Ericsson's 50-percent stake in the pair's former joint venture, a move that was earlier reported to have cost €1.05 billion ($1.37 billion) to complete. The now fully Sony owned Sony Ericsson will be renamed Sony Mobile Communications, though a few of the outfit's already announced children are keeping their papa's name. Hit the break for Sony's small press release.
Corning and Samsung ink new joint venture, plot Lotus Glass future for OLED devices
Anyone keeping a close eye on the mobile market knows that Samsung and Super AMOLED, much like peanut butter and jelly, are inextricable bosom buddies. So, this recent tech marriage between the Korean electronics giant and Corning (of Gorilla Glass fame) shouldn't come as much surprise for fans of super saturated screens. Under terms of the agreement, both parties will jointly manufacture Lotus Glass for use in smartphones falling under the Galaxy umbrella, as well as Super OLED TVs. The substrate, heralded for its ability to withstand "higher processing temperatures" without compromising structural stability, will help create a range of less power consumptive, high-resolution devices. Unexciting? Sure, but you didn't think those 720p displays were going to make themselves, now did you? Official PR after the break.
NTT Docomo, Panasonic, Samsung and more team up to take on Qualcomm over cellphone chips
Japanese mobile operator NTT Docomo just announced (as had been rumored) it's forming a joint venture with five partners -- Samsung, Panasonic, Fujitsu Limited, Fujitsu Semiconductor and NEC -- to develop and sell chips for mobile devices. According to the press release the fabless JV will get started once all involved finish hammering out the details and focus on creating LTE-connected products for the global market. NTT Docomo is investing $5.8 million to create a subsidiary, Communication Platform Planning Co., in preparation with one of its executives as CEO. Currently Qualcomm makes the majority of chips found in smartphones, but it appears to have some high-powered competition on the way soon.
Sony sells its stake in Samsung LCD team-up for $939 million
Sony and Samsung have decided to part ways on their seven-year-old LCD venture. Possibly due to Sony's recent struggles in the increasingly competitive world of TV division, Samsung will buy up its 50 percent share for around $939 million. The Japanese company has agreed to a new strategic agreement to source Sammy's LCDs in the future and, according to Sony, will continue "cooperative engineering efforts focused on LCD panel technology." Its full explanation follows after the break.
Sony Ericsson to become Sony in mid-2012
Sony and Ericsson's decade-long partnership may have humbled Kim Kardashian, but dwindling market share and an over-reliance on feature phones signaled the end of the affair. Ericsson will have until "mid 2012" to clear its things from the spare room before the electronics giant begins a new solo venture. The revitalized enterprise will leverage its parent company's brand strength, R&D and content (since it owns a massive chunk of the entertainment industry) and in comments made to Times of India, company Vice President Kristian Tear said there would be a "fierce" advertising push to restore the company's reputation as a major player worldwide -- before taking a Pilates class to try and fit back into its bachelor pad.
Sony, Toshiba, Hitachi make joint venture official, form Japan Display Inc.
Sony, Toshiba and Hitachi officially joined forces today, cementing a government-backed joint venture that's been in the works for a few months, now. Together with the government-funded firm Innovation Network Corporation of Japan (INCJ), the three manufacturers will now form an entity known as Japan Display Inc., slated to launch during the Spring of 2012. INCJ is providing the lion's share of the funding (approximately $2.6 billion), giving it a 70 percent stake in the newly formed venture. The other three, meanwhile, will each control ten percent of the company, which will encompass their respective small-display subsidiaries. The stakeholders are hoping that today's announcement will help revive their sagging display sales, with some extra help from Panasonic, which also announced that it's selling one of its biggest domestic factories to the freshly minted Japan Display, for an unnamed sum. Find more details in the full PR after the break.
Sony to buy out Ericsson's stake in joint venture, call it quits after ten years
We all saw it coming and, sure enough, it's finally happened. After all the rumors and opaque comments, Sony has just bought out Ericsson's share of Sony Ericsson, effectively assuming ownership of the entire venture. Ericsson confirmed the buyout this morning, adding that it will receive a cash consideration of €1.05 billion in exchange for its 50 percent stake. Sony, meanwhile, will now have the chance to integrate smartphones more tightly within its arsenal of tablets, laptops and gaming devices. The agreement also gives Sony an IP cross-licensing agreement and ownership of "five essential patent families" pertaining to wireless tech, though the breadth of this coverage remains unclear. The separation won't be finalized, however, until January 2012, pending regulatory approval. Find more details in the full PR, after the break. Update: Sony president and CEO Sir Howard Stringer has just addressed the media on the proposed buyout and confirmed that the company will indeed move away from feature phones, as previously stated. This effectively heralds the death of the Walkman line and the dawn of Sony's exclusively Android era, though Stringer's not ruling out the possibility of bringing another OS on board. When asked whether his firm would consider buying webOS, the exec said simply, "Never say never." [Thanks to everyone who sent this in]
Sony nearing deal to move cellphone operations in house, buy out Ericsson's half
Sony is getting tired of sitting idly in sixth place in the battle for cellphone supremacy. Sure, there have been a few noteworthy devices from the company's joint venture with Ericsson (i.e. the Arc), but for the most part it has struggled since its inception in 2001 to run with the alpha dogs. The Japanese manufacturer's new strategy involves buying out Ericsson's stake in the company and having its tablet, smartphone and handheld gaming units work closely together to develop future products. According to the Wall Street Journal, a deal for the Stockholm company's half of the venture is nearing completion. Some difficulties remain, such as properly valuing the company and settling on a price for Ericsson's roughly $1.3 to $1.7 billion worth of mobile technology patents, but a deal is expected to be reached sooner rather than later. And maybe, just maybe, the new found flexibility will allow Sony handsets to keep pace with the Samsungs and Apples of the world.
