News

19 February 2009

 

Samsung Electronics setting up LED joint venture

According to a recent regulatory filing, South Korea’s Samsung Electronics Co and its component manufacturing affiliate Samsung Electro-Mechanics Co have agreed that in April they will launch a new 50:50 joint venture (tentatively named Samsung LED) dedicated to producing LEDs, as reported by news agency Reuters and Korean newspaper Chosun Ilbo.

Samsung Electro-Mechanics currently runs a business that focuses on producing white LEDs for mobile phone backlighting. The new venture should be able to use parent firm Samsung Electronics’ cash reserves and technology to further expand LED business.

In particular, it aims to grow business for applications such as backlight units (BLUs) for display, especially in large flat-screen LCD TVs. The venture will help to support Samsung Electronics’ LED-backlit TV business.

The new venture also aims to boost the firm's presence in the rapidly growing market for energy-efficient lighting technology. The South Korean government has announced support for the use of LED lighting, and plans to replace 30% of all bulbs at public facilities with LEDs by 2012. Korea aims to capture a 26% share of the global LED market within nine years.

See related item:

LED market to grow 2.9% in 2009, aided by LCD-TVs

Search: Samsung LEDs BLUs LCD TVs

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