Samsung to Close Deal with Apple Inc.'s Key Display Supplier

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Samsung Electronics Corp. is set to boost its supplier base as it nearly closes a relatively low-cost deal with one of the key display suppliers of rival Apple Inc. in Asia.

Samsung will be acquiring 3% share in Japanese television pioneer Sharp Corp., making it the first South Korean television maker to take a stake in a major company in the rival country.

The rare cross-border technology deal is expected to affect Apple by absorbing capacity at plant that manufactures iPhone 5 and iPad screens. Sharp is the second-largest supplier of Apple after LG Display Co. Ltd., according to analysts and industry researchers.

In addition, Seoul-based Daishin Securities analyst Jeff Kang said that Apple will be also prevented by Samsung's investment, worth $110 million, from securing exclusive access to Sharp's thin screen technology.

Sharp, along with Japan's other television set makers Sony Corp. and Panasonic Corp., has been struggling from business losses as Samsung continues to dominate in overseas markets.

Last October, Sharp was bailed out by its banks as it saw drops in its shares and market sales.

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Television

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