Sony and Panasonic Form Joint Venture to Create Medium Sized OLED Displays

OLED displays continue to be the pot of gold at the end of the rainbow. While every company including Sony has been able to create small displays and incorporate them on camera viewfinders and more prominently on devices like the PlayStation Vita, mass production on large displays remains a challenge. While Sony and others have been able to create large OLED televisions, due to production woes and astronomical costs, none of these sets have come to the market in a meaningful way due to the large price tag they carry. Still, the industry seems to want to make large OLED displays happen while it’s unclear if consumers truly care or if a proper 4K set is enough.

Sony, for its part, has had a turbulent history with OLED productions. In 2012, the company announced a joint venture with Panasonic to combine R&D which never led anywhere. Sony followed up by showcasing a 56-inch OLED TV at CES 2013, but that was the last we heard of the set. Eventually the company did release 30-inch (4,096 x 2,160) and 56-inch (3,840 x 2160) 4K OLED monitors for professionals but rumors followed in early 2014 that they were poised to exit the OLED business.

If that makes your head spin, you’re not alone but Sony is now coming full circle by announcing a new joint venture with Panasonic to once again create OLED displays.

The new company, which will go live in January 2015, comprises of Sony, Panasonic, Japan Display (which was created from parts of Sony’s television division) with cash injection by the Japanese government. Unlike previous partnerships between the two companies, JOLED Inc. will primarily focus on medium-sized OLED displays that will accommodate mobile devices such as tablets, smartphones and “signage.”

JOLED will bring together world-leading OLED display technologies from Sony and Panasonic, including use of printing technology for OLED production, transparent amorphous oxide semiconductors, and flexible display technology. In addition, JOLED plans to take advantage of JDI’s wide-ranging portfolio of display technologies. JOLED’s aim is to become the leader in the global OLED display market.

Under the new company, Sony and Panasonic will each hold a meager 5% stage in the company while the rest is held by Japan Display and the Japanese government. Sony expects to shift some employees and R&D to JOLED Inc. with no job cuts.