After Sony also Panasonic will cease development of OLED TVs, the manufacturer plan to sell its OLED business to Japan Display. With the measure the company hopes to increase its profitability and reduce costs. Panasonic will focus on the production of LCDs and the Japanese electronics giant also plans to focus on markets than televisions, according to Japanese newspaper Mainichi.
The development of OLED TVs is associated with high costs and by ceasing investments in the technology Panasonic expects this profitability can be increased. Panasonic is struggling with huge losses, the company is reorganizing and recently also stopped production of plasma TVs. Selling the OLED business of the company would give the company some financial room again. Last year Sony and Panasonic ended their partnership for development of OLED TVs.
Earlier we reported that also Sony plans to cease development of OLED TVs and the company might also sells its OLED business to Japan Display. OLED technology should have revolutionized TVs with improved response times, better power efficiency, thinner, lightweight and flexible panels that should in the end be cheaper to produce.
Development costs and investments in production facilities are high which so far has been a showstopper for most companies. Previously also Samsung announced it paused the development of OLED TVs, and so far only LG seems to be the last major player to continue development of the technology.
