Pioneer and Sharp team up on Blu-ray market

Sharp and Pioneer will start a joint venture in the fall to house their optical drives and disks businesses. With the collaboration, the companies want to strengthen their position in the Blu-ray market.

The joint venture is to be launched on 1 October 2009. The new company will develop, design, manufacture and sell optical discs, burners and players. Sharp and Pioneer hope to become the number one in the market by bundling their optical disc and drive business.

The companies have their eye on the Blu-ray market in particular; they expect it to experience significant growth. Pioneer has its own development team for Blu-ray products and owns a production facility where products for the mid and high-end segment roll off the production line. Sharp is a major manufacturer of blue laser diodes and other blu-ray drive components; the manufacturer also makes blu-ray players for the entry-level segment. The companies to expect officially sign the agreement to set up the joint venture on 25 June.