Sharp may not survive if it can't turn around its business
52 replies, posted
[url]http://www.computerworld.com.au/article/440848/sharp_warning_it_may_collapse_surprises_few/[/url]
[quote=Computerworld]Japan's Sharp, a major supplier of LCD displays to Apple and other manufacturers, has warned that it may not survive if it can't turn around its business, an admission that caught few off guard.
The Osaka-based manufacture said there is "material doubt" about its ability to continue operating in its earnings report filed Thursday. Sharp added, however, that it still believes it can cut costs and secure enough credit to survive. Its IGZO technology for mobile displays is likely to be a key element of its business strategy.
Companies with credit trouble must warn about possible concerns over their survival as part of their disclosure requirements.
"A year ago people would have been pretty surprised, but Sharp's situation is pretty well-known these days," said Keita Wakabayashi, an analyst at Mito Securities.
Sharp is in the midst of a restructuring plan in which it has reduced headcount, slashed employee salaries and mortgaged its buildings and factories.
The company now targets a net loss of ¥450 billion (US$5.6 billion) for the year, up from the ¥250 billion it forecast previously, due mainly to the restructuring. The company, whose stock has been downgraded to junk status by ratings agencies, continues to seek investments from outside companies, with media reports in Japan linking it to companies including Apple and Intel.
"We are continuing our negotiations with Hon Hai," said Sharp President Takashi Okuda, who spoke to reporters after the company's earnings release on Thursday.
Sharp and the Foxconn parent agreed to a deal earlier this year that would have involved a major investment in Sharp in exchange for an allotment of its shares, but negotiations have dragged on as its stock price plunged in recent months. Sharp's position in negotiations weakens along with its financials, a situation that could lead potential partners to drag out talks.
Sharp, which is suffering from an over-aggressive bet on LCD panels for large-screen TVs, is rushing to switch over to the booming market for tablets and smartphones.
The company's turnaround plan includes a focus on its IGZO technology, which uses far less battery power than existing screens. Named after the indium gallium zinc oxide semiconductor on which it is based, the screens will be used in several upcoming Sharp devices, and the company has said it expects them to become a core product.
"It's important that they keep focusing on small and medium-sized LCD screens to survive," said Wakabayashi.
Sharp said it believes it can still pull itself back to profitability with its current round of restructuring.
"We believe these measures will be enough, as do our banks," said Sharp spokeswoman Miyuki Nakayama.[/quote]
I was hoping for Foxxcon, this is sad.
Also they're failing because Intel and Apple. Idiots will only buy your shiny shit for so long.
I have a Sharp TV. :(
[QUOTE=draugur;38322319]I was hoping for Foxxcon, this is sad.
Also they're failing because Intel and Apple. Idiots will only buy your shiny shit for so long.[/QUOTE]
How are Apple and Intel sharp's competition?
They supply Apple with displays, and Sharp does not make processors.
If anything it is Samsung, Sony, and other tv/general electronics companies beating them out.
Now who will Sean Bean play?
Make a 50" and 100" 4k monitor for less than $1500 and beat everyone.
Sharp make great mobile screens though :(
I think Apple may well buy them out and restructure them entirely.
They'll probably drop everything apart from manufacturing their own displays until the debt is cleared, and then set about making some 4k panels.
[QUOTE=draugur;38322319]I was hoping for Foxxcon, this is sad.
Also they're failing because Intel and Apple. Idiots will only buy your shiny shit for so long.[/QUOTE]
i'm sorry not everyone wants to fuck with roms and just wants a working [I][I]smart[/I][/I]phone
[QUOTE=Ezhik;38325586]im sorry not everyone wants to fuck with roms and just wants a working phone[/QUOTE]
[IMG]http://filesmelt.com/dl/nokia-image-666533-article-ajust_900.jpg[/IMG]
[QUOTE=Van-man;38325594][IMG]http://filesmelt.com/dl/nokia-image-666533-article-ajust_900.jpg[/IMG][/QUOTE]
okay, a smartphone then :/
not everyone needs all that customization bullshit, just a camera, a web browser, and some games
and an iphone delivers those things quite nicely with no stupid bullshit, unlike android, which does whatever it wants including not working at all
[QUOTE=draugur;38322319]I was hoping for Foxxcon, this is sad.
Also they're failing because Intel and Apple. Idiots will only buy your shiny shit for so long.[/QUOTE]
Failing because Intel and Apple?
How the fuck does that even work.. They get orders for screens from Apple, paid in advance and fulfill the orders to specification.
It's not like they're producing panels of the right size and specification in the hope that Apple buys them.
As for Intel.. they have nothing to do with screen technology.
The problems with their finances probably lie in mismanagement, staff control and property, if it's to do with their products at all, it's probably in older model products that have now become worthless due to newer, cheaper competitor products.
If I were them I'd cut losses by completely dissolving any product lines that aren't selling and focus on providing business-to-business services for a while, and working on 4K screens.
[editline]5th November 2012[/editline]
[QUOTE=Ezhik;38325612]okay, a smartphone then :/
not everyone needs all that customization bullshit, just a camera, a web browser, and some games
and an iphone delivers those things quite nicely with no stupid bullshit, unlike android, which does whatever it wants including not working at all[/QUOTE]
Well said. I'd rather not have to install a virus scanner on my phone, thanks.
The first TV we had in the house was a Sharp when I was a kid.
[QUOTE=Amiga OS;38325727][img]http://st3.gsmarena.com/p2/vv/bigpic/htc-google-nexus-one-final.jpg[/img] [img]http://i-cdn.phonearena.com/images/article/21305-image/Google-Nexus-S-4G-priced-at-30-through-Sprint-but-Amazon-and-Best-Buy--still-go-even-lower.jpg[/img] [img]http://i-cdn.phonearena.com/images/article/33514-image/Samsung-Galaxy-Nexus-successor-said-to-pack-a-1-5GHz-dual-core-CPU-same-4-65-inch-screen.jpg[/img] [img]http://1.androidauthority.com/wp-content/gallery/lg-nexus-4-press-images/thumbs/thumbs_lg-nexus-4-1.jpg[/img][/QUOTE]
I'm not seeing your argument here at all.....
[QUOTE=Amiga OS;38325727][img]http://st3.gsmarena.com/p2/vv/bigpic/htc-google-nexus-one-final.jpg[/img] [img]http://i-cdn.phonearena.com/images/article/21305-image/Google-Nexus-S-4G-priced-at-30-through-Sprint-but-Amazon-and-Best-Buy--still-go-even-lower.jpg[/img] [img]http://i-cdn.phonearena.com/images/article/33514-image/Samsung-Galaxy-Nexus-successor-said-to-pack-a-1-5GHz-dual-core-CPU-same-4-65-inch-screen.jpg[/img] [img]http://1.androidauthority.com/wp-content/gallery/lg-nexus-4-press-images/thumbs/thumbs_lg-nexus-4-1.jpg[/img][/QUOTE]
performance issues, shit battery life, no option for lots of storage (you can get a 64 gb iphone), shit cameras
plus an app store which is a pain in the ass to browse and is full of shit
[QUOTE=Amiga OS;38325777]Your kidding right?
The iOS app store has to be the worst designed app ever.[/QUOTE]
ok fine, the app store is ugly
but you agree on everything else it seems, so it's still better for a normal human being
[QUOTE=Ezhik;38325756]performance issues, shit battery life, no option for lots of storage (you can get a 64 gb iphone), shit cameras
plus an app store which is a pain in the ass to browse and is full of shit[/QUOTE]
yeah, because iPhones are renowned for their battery life and performance.
fuck off guys this is a thread about sharp
[QUOTE=BlkDucky;38325798]yeah, because iPhones are renowned for their battery life and performance.[/QUOTE]
an iphone doesn't need quadcore gigagizzle processors to run smoothly, and my iphone had much better battery life than any of my 4 android phones
[I]-was off topic-
[/I]It appears all the Japanese Screen manufacturers are suffering.
Sony, Toshiba and Hitachi merged for the same reason, it's a shame Sharp wasn't in on it.
[QUOTE=Amiga OS;38325802]Yeah, the app selection is crap, and the average user up votes truly shitty apps to the front page.[/QUOTE]
shitty apps? do you even use android??
slow, full of ads, with a ui that was made in 2008 by a three year old - that's like 50% of apps in google play
there isn't even a good movie editor for android
Cutting costs yeah that sounds like a great idea.
[QUOTE=SCopE5000;38325460]Make a 50" and 100" 4k monitor for less than $1500 and beat everyone.[/QUOTE]
why the hell would you need a hundred inch monitor
[QUOTE=SCopE5000;38325847][I]-was off topic-
[/I]It appears all the Japanese Screen manufacturers are suffering.
Sony, Toshiba and Hitachi merged for the same reason, it's a shame Sharp wasn't in on it.[/QUOTE]
When did this happen?
It may not be the best source, but Wikipedia says nothing about this.
[QUOTE=Ezhik;38325793]ok fine, the app store is ugly
but you agree on everything else it seems, so it's still better for a normal human being[/QUOTE]
no your opinions are wrong, Iphones suck.
[QUOTE=laserguided;38326290]no your opinions are wrong, Iphones suck.[/QUOTE]
lets all take a moment and thank laserguided for contributing his unbiased opinion on iphones to this thread
[sub]in a thread about sharp[/sub]
[QUOTE=laserguided;38326290]no your opinions are wrong, Iphones suck.[/QUOTE]
amazing argument and such well thought out reasons
[QUOTE=Ezhik;38326363]amazing argument and such well thought out reasons[/QUOTE]
I dunno but 'camera sucks' doesn't seem very well thought out either. Seeing as mine has a 8.1 megapixel camera, and it makes amazingly beautiful photos. Furthermore, my battery easily lasts the entire day, which from my experience is about the same as a iPhone, and it runs perfectly fine. Oh and I bought the phone for roughly $120.
[QUOTE=mopman999;38326345]lets all take a moment and thank laserguided for contributing his unbiased opinion on iphones to this thread
[sub]in a thread about sharp[/sub][/QUOTE]
it was sarcasm. I should have made it more obvious.
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