Sharp 2006 Annual Report Download - page 11

SHARP ANNUAL REPORT 2006 10
mass production of thin-film photovoltaic modules.
Initiatives in key businesses in fiscal 2006
Sharp seeks to drive significant progress in fiscal 2006
by strengthening efforts in the following key businesses.
LCD TVs
Demand for LCD TVs is increasing globally, and within
this product category, ongoing advancement in digital, high-
definition broadcasting around the globe has begun to spur
high demand for large-screen, high-definition TVs.
Accordingly, Sharp seeks to strengthen sales of large-size
LCD TVs, especially full high-definition models which have a
resolution of 2.07 million pixels, the same number as high-
definition broadcasting.
On a production front, we will continue with efforts to
create an optimum global production system. Sharp is
already engaged in integrated LCD TV production, covering
the back-end processes of LCD panels and final assembly of
LCD TVs, in Japan, China and Malaysia. To cope with the
growing LCD TV market in Europe, Sharp is constructing a
new LCD module plant in Poland, reflecting our desire to
have integrated LCD TV production in Europe as well.
Operations at this plant are set to get underway in January
2007. Through the creation of such a worldwide production
system, Sharp will be able to roll-out highly-advanced LCD
TVs to the global market in a timely manner.
Mobile phones
In Japan, “One segment broadcasting” or “One Seg,” a
new type of terrestrial digital broadcasting for mobile equip-
ment, began in April 2006, and “Mobile Number Portability,”
which allows users to change mobile phone operators without
changing phone number, is scheduled to start in November
this year. Sharp sees such new services as great business
opportunities, and is aiming to make timely launch of uniquely
featured mobile phones that take full advantage of our own
devices, such as proprietary LCDs. Overseas, Sharp is com-
mitted to further strengthening its expansion in the European
market, where the widespread adoption of 3G is going into
high gear, and to growing business scale in Asian markets.
LCDs
Demand for large-size LCD panels has been rising
steadily as the LCD TV market expands. In response, in
March 2006, Sharp enhanced its production capacity at the
Kameyama No. 1 Plant, suitable for the production of LCD
panels for 30-inch-class TVs. We will also begin operations
at the Kameyama No. 2 Plant to bolster production of LCD
panels for large-screen TVs of 40 inches and larger to meet
rapidly growing demand of large-size LCD TVs. The
Kameyama No. 2 Plant will be the first in the world to employ
eighth generation (8G) glass substrates, which are optimal
for production of LCD panels for 40-inch-class and 50-inch-
class TVs. Besides increasing the size of the glass sub-
strates, we will make use of advanced materials and imple-
ment production innovations that improve manufacturing effi-
AQUOS full high-definition LCD TVs