Changhong to invest $57 mln in flat panel television technology
Shanghai. October 13. INTERFAX-CHINA - Shanghai Stock Exchange-listed Sichuan Changhong Electric Co. Ltd., a leading Chinese television manufacturer, will invest a total of RMB 391 million ($57.23 million) towards the development of its flat panel television technologies, according to an Oct. 13 company announcement.
Sichuan Changhong Group, Changhong Electric's parent company, will invest RMB 71 million ($10.39 million) towards the technology upgrade, while eight Changhong Electric subsidiaries will collectively contribute the remaining RMB 320 million ($46.84 million), according to the same announcement.
Changhong Electric did not reveal the specific technologies involved.
Shi Hong, an industry analyst with Industrial Securities, told Interfax that Changhong Electric is keen on further developing a number of technologies, including TFT-LCD (thin film transistor liquid crystal display) panel and display module, PDP (plasma display panel) and OLED (organic light-emitting diode).
"It has become a trend for Chinese television manufacturers to enter the panel manufacturing sector, whereas previously, the development and manufacture of flat planel display technologies and equipment was undertaken by third party manufacturers. The Changhong investment will likely go towards the upgrade of the company's panel manufacturing capabilities," Shi said. Although CRT (cathode ray tube) televisions remain Changhong's core business, the company is increasingly focused on the flat panel sector, Shen Yinan, the vice general manager of Sichuan COC Display Devices Co. Ltd., Changhong Electric's PDP subsidiary, previously told Interfax.
According to Chen, Changhong Electric will focus on enhancing its flat panel production, as well as its marketing and sales efforts over the remainder of this year.