Japan's Sharp Corp said on Wednesday it had signed a cross-licensing agreement with Taiwan's AU Optronics Corp for TV-use liquid crystal displays (LCDs), a move that suggested Sharp may be looking to procure panels from AU.
Sharp lost its global No 1 ranking in the LCD TV market to Sony Corp in the three months that ended in December, mainly due to supply shortages as it underestimated demand.
Osaka-based Sharp also said it and the Japanese unit of Taiwan's Teco Electric and Machinery Co had reached a settlement in patent disputes that involve panels made by AU, the world's third-largest maker of LCDs.