Major news today as Toshiba and
Samsung have released information that both companies will be in a joint venture
to produce optical disc drives. Both companies are already in a joint
venture on a certain of memory and this new joint venture will only strengthen
the relationship of both companies. The joint venture will likely use Toshiba
technology and the production capabilities of Samsung.
 The new
joint venture will bring together product and business planning, product
development, procurement and sales for optical-disk drives (ODD),
including CD-ROM and DVD-ROM drives. The new company will be 51% owned by
Toshiba and 49% owned by Samsung Electronics and consolidated by Toshiba.
The JV will be headquartered in Japan, while its wholly owned subsidiary
established in Korea will control operations there.
 The scale
of the combined operation will position the joint venture among the world
leaders in the ODD business. With 2002 annual sales exceeding 200-billion
yen, the collaboration is expected to further enhance its global
position.
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Samsung is a South Korean company with production lines in China and
South Korea where manufacturing is much cheaper then in Japan. However Research
and Development is still going strong in Japan, hence the
cooperation.
Source: Toshiba.co.jp
