subject: Mitsubishi to Leave LCD Tv Market [print this page] Mitsubishi to Leave LCD Tv Market Mitsubishi to Leave LCD Tv Market
Mitsubishi has dropped a massive bombshell in the electronics world, they have announced that as part of a downsizing operation they will drop their LCD TV line. This will be a huge hit to many manufacturers across the world as they rely on Mitsubishi panels to fulfil their products. This product cancellation will leave all of these other manufacturers with a massive headache.
When any major player exits a market there are huge ramifications for the market and the consumer. In this case there could be varying outcomes, if the manufacturers using the Mitsubishi panels struggle to fulfil their orders they could fall into trouble. There may be a reduction in the availability of screens which will massively push up the price of units for the consumer.
There are also ramifications for the staff of the plants where these products and components are made. It has been rumoured that up to 500 employees in the Georgia and Ontario sites will potentially lose their jobs or have to move to another plant.
Whilst we are noting the changes within the LCD TV departments there are also other departments facing a reduction, the plant in Mexico will see a downsize, however the high end visual systems departments will be expanded. This would show that Mitsubishi thinks its future may be in the high end visual unit market, supplying large companies with top of the range (high priced) kit.
Mitsubishi will also be focusing on the DLP format which compared to LCD TV prices is much cheaper (by size) also you can buy much larger DLP units than are currently available in the LCD TV market. So they are carving a niche in the large screen market, whilst the demand and market is much smaller there may be good value in this sector.
Whilst Mitsubishi is restructuring there will be a hole left in the LCD TV market place. It would not surprise us if one of the other brands was looking at filling the void left by Mitsubishi. Or it may leave a gap for a smaller player to jump up the food chain quickly. Hopefully a new entrant will fill the void and create a great way to produce the panels in a cheap way which will allow prices to become more competitive for the market.
