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NEC to Merge Display Businesses

Through streamlined operations, market efficiencies, NEC Display Solutions, Ltd. aims to become the no.1 display solutions provider worldwide

 

NEC Corporation, one of the worlds's leading providers of internet, broadband network and enterprise business solutions, NEC Viewtechnology Ltd. and NEC Display Solutions Ltd. today agreed to merge the projector business of NEC Viewtechnology and the display monitor business of NEC Display Solutions, effective as of April 1, 2007. NEC Display Solutions will be integrated into NEC Viewtechnology, which will change its name to NEC Display Solutions Ltd. Yoshiaki Tsuda has been named as the President of the new company. After integration, the overseas subsidiaries of the new company, NEC Display Solutions Europe GmbH., in close collaboration with European sales companies of NEC, and NEC Display Solutions of America, Inc., will lead the visual display products (projectors, LCD monitors and PDP monitors) and solutions businesses in Europe and North America respectively.

 

Since its establishment in January, 2000, NEC Viewtechnology has brought an award-winning, technologically advanced lineup of projectors to a broad range of customers in the digital cinema and mobile arenas.  In that time, it has also achieved a strong global presence, with overseas sales of approximately 90%. In 2006, NEC Viewtechnology emerged as the no.2 worldwide leader in the business projector market (1*). “The merger of these two NEC visual display businesses is expected to not only increase operational efficiencies, but also to create a number of added benefits for our customers, including the provision of new and more innovative solutions, unmatched worldwide. We are committed to growing and expanding along with our customers.” said Takashi Ogawa, President of NEC Viewtechnology.

 

NEC Display Solutions, established in January, 2000, currently delivers high-quality large-screen monitors for public information and public display, award-winning desktop displays, and dynamic digital signage solutions to its diverse range of business and consumer customers. Through its own development, manufacturing and sales functions, NEC Display Solutions has achieved strong, global supply chain management, which has propelled it to the no.1 position in the stand-alone corporate LCD monitor market in the U.S. for CY2005 (*2), and the no.3 position in the stand-alone corporate LCD monitor market in Europe for FY2005 (*3).  Currently, 90% of its sales originate outside of Japan. “Integrating the strong technological competence of NEC Viewtechnology and NEC Display Solutions will enable us to offer an unbeatable lineup of products and solutions,” said Yoshiaki Tsuda, President of NEC Display Solutions. “Our merged strengths will undoubtedly empower more accurate and flexible response to increasingly diverse and sophisticated customer needs, positioning us as the no.1 trusted company to deliver by far the best visual products and solutions in the market.”

 

NEC Viewtechnology and NEC Display Solutions have expanded their businesses leveraging strong, global supply chain management and market-leading technologies. The new NEC Display Solutions, Ltd. will combine the management resources of both companies to strengthen the development,
manufacturing and sales of NEC’s visual display equipment business. A stronger, more streamlined structure will ensure faster response to diversified market needs, allowing NEC Display Solutions, Ltd. to provide its customers with premium visual display products and solutions. The strategic move is expected to accelerate NEC’s global market growth, putting it in an optimal position to become the no.1 provider of display solutions worldwide. NEC will continue to promote enhanced collaboration among its solutions businesses within the NEC Group, toward the provision of a broad range of optimal, high quality visual products and solutions to all of its customers worldwide.

 

*Notes
(1) According to NEC Viewtechnology, Ltd. analysis based on data from Pacific Media Associates, Decision Tree Consulting, and Fuji Chimera Research Institute for the second quarter of FY2006 (July - September, 2006). .
(2) According to NPD Group, Inc.
(3) According to NEC Display Solutions Europe GmbH analysis based on research data from Meko Ltd., for FY2005 (April, 2005 - March, 2006).

 

Outline of the new company (As of April 1, 2007)

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Company Name: NEC Display Solutions, Ltd.
Capital: 3.0 billion yen (NEC: 99.96%, NEC Fielding Ltd.: 0.04%)
Head office: Shibaura 4-13-23, Minato Ku, Tokyo, Japan
President: Yoshiaki Tsuda
Business area: Development, manufacturing and sales of visual display products and visual display solutions.
Estimated sales: 180.0 billion yen (forecast for FY ending 31 March, 2008)
Employees: (Estimate as of April, 2007)  
Non-consolidated: 580
Consolidated: 1,000
Main offices:
Domestic sales office: Minato Ku, Tokyo, Japan
Domestic development office: Shonan Technical Center, Kanagawa, Japan
Overseas affiliates:
NEC Display Solutions of America, Inc. (Itasca, IL, USA)
NEC Display Solutions Europe GmbH (Munich, Germany)

Manufacturing subsidiary in China (projectors):
NEC Viewtechnology Trading (Shenzhen), Ltd.
Manufacturing/development offices (monitors):
NPG DISPLAY LTD. (Hong Kong, Dongguang, Taiwan)

 

Outline of NEC Viewtechnology, Ltd.

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Company Name: NEC Viewtechnology, Ltd.
Capital: 1.0 billion yen
Established: January, 2000
Head office: Shiba 5-37-8, Minato Ku, Tokyo, Japan
President: Takashi Ogawa
Business area: Development, manufacturing and sales of visual display devices, including projectors
Employees:
Non-consolidated: 380
Consolidated: 430

 

Outline of NEC Display Solutions, Ltd.

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Company Name: NEC Display Solutions, Ltd.
Established: January, 2000
Capital: 4.5 billion yen
Head office: Shibaura 4-13-23, Minato Ku, Tokyo, Japan
President: Yoshiaki Tsuda
Business area: Development, manufacturing and sales of monitors
Employees:   
Non-consolidated: 200
Consolidated: 520

 

About NEC Viewtechnology, Ltd.

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NEC Viewtechnology, Ltd. delivers an award-winning, technologically advanced lineup of projectors to a broad range of customers in the digital cinema and mobile arenas worldwide. For additional information, please visit the NEC Viewtechnology home page at: http://www.nec-pj.com/

 

About NEC Display Solutions, Ltd.
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Established in 2000, NEC Display Solutions, Ltd. carries out NEC’s brand display business, development, manufacturing, and customer services for LCD display monitors, and provides CRT display monitors and their associated products to the worldwide market. Highly recognized for its high quality, durability, reliability, strong support services, and on-time delivery by its global corporate customers, it recorded consolidated sales of 117 billion yen in the fiscal year ended March 31, 2006. For more information, please
visit the NEC Display Solutions home page at:
http://www.nec-display.com/global/index.html

 

About NEC Corporation
-------------------------------
NEC Corporation (NASDAQ: NIPNY) is one of the world's leading providers of Internet, broadband network and enterprise business solutions dedicated to meeting the specialized needs of its diverse and global base of customers. NEC delivers tailored solutions in the key fields of computer, networking and electron devices, by integrating its technical strengths in IT and Networks, and by providing advanced semiconductor solutions through
NEC Electronics Corporation. The NEC Group employs more than 150,000 people worldwide and had net sales of approximately 4,825 billion yen (approx. $41.2 billion) in the fiscal year ended March 2006. For additional information, please visit the NEC home page at: http://www.nec.com
* Newsroom: http://www.nec.co.jp/press/en/

 

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