One of the world’s leading television producer, Panasonic, is about to outsource its TV production to China’s TCL.
TCL (Telephone Communication Limited), founded in 1981, is one of Panasonic’s rivals and also the 3rd largest TV maker by market share since 2015.
Both parties are negotiating the scope of the contract and Panasonic aims to reach an agreement as soon as June 2021.
The latest move from Panasonic aims to cut costs especially the development of low-end TVs, which the profit margins are low.
The company said it will continue making its own high-end TVs while scaling down the other segments of TV manufacturing.