June 19, 2013
Asahai Shimbun reported that the deal is part of Sharp’s attempts to “expand its relationship” with Samsung, with Sharp aiming to manufacture all-in-one devices for sale under the Samsung brand.
Samsung bought a stake in Sharp earlier this year, with the latter company rejecting an earlier approach from the South Korean giant to buy its printer and copier unit, before Samsung then took a three percent share in Sharp, becoming its largest shareholder. Sharp has already supplied Samsung with LCD panels for televisions, but the 10.4 billion yen ($109.5 million/€81.7 million) spent by Samsung to accumulate the three percent of shares has meant the two companies “have been exploring ways to expand their collaboration”.
Sharp’s initial rejection of the offer from Samsung to buy its copier business has seemingly now been taken back, with the news source noting that Sharp “now appears to expect benefits through collaboration”, with both companies said to be “actively discussing ideas” of “coupling their copier business together”.
The agreement would make business sense for both sides, with Sharp achieving its second largest operating profit of 24.3 billion yen ($255.7 million/€190.9 million) in 2012, and Samsung enjoying a successful worldwide sales network. The site noted that Samsung’s supply should help “bolster Sharp’s production output numbers”, and Samsung will benefit from the expansion of sales through “obtaining top-of-the-line machines”. Sharp’s 12.5 percent global share in digital MFP shipments last year, in comparison to Samsung’s less than two percent, also explains the positive outcome of such an agreement.
Categories : Products and Technology