LG.Philips LCD announced it has signed a deal with HP to provide LCD panels for notebooks and for desktop monitors over the next three years. The three-year long agreement will further enhance the strenght of LG.Philips in the notebook PC and monitor LCD market.
Under the agreement LG.Philips will become the main supplier of LCD panels for IBM from June 2005 to May 2008. The deal is a substantial increase of LG.Philips' existing supply agreement with HP.
Regarding the long-term deal, HP Vice President Kirk Moul said, “This strategic agreement with LG.Philips LCD is a key to our continuing growth in the notebook and display market by enabling a stable supply of high quality and advanced technology products”
To meet growing demand of the market and its agreement with HP, LG.Philips LCD will boost production at its sixth generation production facilities and ramp-up the capacity of its seventh generation production facilities.
LG.Philips LCD has regained its number one position in the large monitor and TV LCD market and now expects to gain momentum in the notebook LCD market through its partnership with HP, a leader in the notebook PC and monitor market. By striking a long term deal with HP, LG.Philips LCD hopes to have secured a stable customer for large quantities of product.