Sharp 2009 Annual Report Download - page 22

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

This product group has seen a significant decline in revenue and profits. The main
causes were the appreciation of the yen, the intensifying price war and adjustment
of retailers’ inventories for LCD TVs; and a massive decline in sales of mobile phones
from the previous fiscal year due to the slump in the domestic market.

Demand for large-screen, high-resolution TVs is growing in line with ongoing
advancement in digital broadcasting and increasing high-definition content. Sharp
has responded to this demand by launching the AQUOS XS1, which features a
next-generation MegaASV LCD to realize high image quality, thin design, and outstand-
ing environmental performance. By enhancing our line-up of large-screen high-definition
models, we achieved greater unit sales than the previous fiscal year. Sharp aims to
roll out highly-advanced, cost-competitive LCD TVs to the market in a timely
manner, and develop AQUOS into a true global brand.

With the spread of large-screen, high-resolution TVs such as LCD TVs, there is rising
demand for recording that replicates the quality of high-definition broadcasting. Sharp
has kept abreast of these changes with steadily increasing sales of models to record
and play Blu-ray Discs, which are ideal for large-volume recording of high-definition
content. Going forward, Sharp will work to expand this business even further by extend-
ing AQUOS Familink’s capacity to link video recorders with LCD TVs and a surround
sound system, to enable it to also link with mobile devices such as mobile phones.

Sharp’s shipments of mobile phones in Japan were well below those of the previous
fiscal period due to a slump in the market. Nevertheless, Sharp continued to expand
its line-up, including the development of a new model featuring an 8 mega-pixel CCD
camera, and as a result, retained top share* in the Japanese market for its fourth
consecutive year since fiscal 2005. Meanwhile, in markets outside of Japan, Sharp
has commenced full-scale sales of handsets in China, a huge market where further
growth is expected. Going forward, Sharp will take steps to capture an even larger
share of the domestic market by expanding its range of touch-screen models, and
work to expand outside of Japan in order to develop this business further.
* According to MM Research Institute, Ltd.
AQUOS XS1
From left: Mobile phones for SOFTBANK
MOBILE Corp., NTT DoCoMo, Inc. and KDDI
CORPORATION

AQUOS Blu-ray Disc recorder
 