Right after numerous companies (LG, Samsung, Philips) announced expanded LCD panel production, Matsushita - the world’s largest consumer electronics maker- has fired back. Matsushita said on Tuesday it will invest about $1.6 billion to build the world’s largest plasma display factory. The company will spend $1.57 billion on the factory, which will hit full capacity by March 2009, when it will be able to churn out the equivalent of 500,000 42-inch panels a month, or 6 million per year (wow, that is a LOT of Plamsa displays.) Matsushita’s overall capacity will climb to 11 million units a year including three other plants in Japan and one in China.

Matsushita, which owns the Panasonic name brand and is the world’s top seller of Plasma TV’s, is aiming to grab 40 percent of the global plasma display market, which it expects nearly to double to 10 million units this year and expand to 25 million by 2010. Of course, this is all good news for consumers as, assuredly, some of the other top Plasma manufacturers (Samsung, Fujitsu, etc.) will counter Matsushita’s move.

By investing aggressively in new capacity, Matsushita aims to strengthen its lead in the plasma TV market and fend off makers of liquid crystal display TVs, which have been boosting output of sets above 40 inches to encroach on a segment of the market until now dominated by plasma technology.

Source: Washinton Post

Technorati Tags: LCD panel, Matsushita, Panasonic