Sharp Corporation and Toshiba Corporation announced that the two companies have agreed to collaborate closely in LCDs, a move that is expected to enhance the companies’ corporate value, profitability and global competitiveness. The alliance will allow each company to make full and effective use of its respective strengths and resources, particularly Sharp’s capabilities in LCDs and Toshiba’s expertise in advanced semiconductors.

Sharp and Toshiba will initiate the collaborative partnership in fiscal year 2008, starting with an expansion of reciprocal procurement – Sharp’s procurement of system LSIs for LCDs from Toshiba, and Toshiba’s procurement of Sharp’s LCD modules for TVs of 32 inches and larger. Through the program, Sharp aims to satisfy about 50 percent of its total demand for system LSIs for TVs in fiscal year 2010, while Toshiba targets meeting 40 percent of its demand for LCD modules in the same year.

By bringing together their key, world class technologies, Sharp and Toshiba will promote business advances through development of differentiated products. Each company aims to secure a leading position in the LCD TV market, and to reinforce its capabilities in LCDs and semiconductors, by overcoming increasingly intense global competition.