Wed, 17 Oct 2012 As Panasonic pulls out of TV market, should Apple read the signs and stay away

Panasonic thinks that there is more money to be made in making LCD panels for devices like the iPad

Panasonic is pulling out of the TV market. The company will instead focus on creating LCD displays for devices such as Apple's iPad, claims Japanese site, Diamond Online [via Apple Insider].

According to that report, building LCD panels for portable electronics is much more profitable.

If the report is correct, it calls into question suggestions that Apple will build its own smart TV. Analysts have already suggested that the Apple television will make little money for Apple because it just won't be able to enjoy the healthy gross margins that it is use to, and that Apple just doesn't have space in its Apple Stores for a television. Other problems include the difficulties in coming to an agreement with TV providers who are against giving technology companies control of the content.

Another reason for Panasonic's decision to pull out of the TV market could be to enable it to dedicate itself to building a television for Apple.

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Comments received

PostScript said on Mon, 22 Oct 2012

Panasonic announced it is cutting production of large TV panels to concentrate on more profitable, smaller panels for tablets and the like. It is not exiting the TV market. Panasonic recently announced a tie-up with Sony for large TV panel production.

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