Japan tech trio tie up LCD arms

JAPAN’S tech giants Sony, Toshiba and Hitachi will merge their liquid-crystal display operations using 200bn yen (£1.6bn) of government-backed funds to fend off growing competition from rivals in South Korea and Taiwan, the groups said yesterday.

The firms were all making losses on small panels until last year so the merger will allow them to focus on their main operations.

The state-backed Innovation Network Corp of Japan will take a 70 per cent stake in the venture in return for its investment, with the trio each taking 10 per cent.