Sharp LCD TV sales forecast earlier in April 2014 to March 2015 was 8.2 million units, but in October 2014 was revised down to 7.6 million units, and Sharp may be further revised down to 600 million units.

Sharp’s 4K2K TV sold in Japan, were all be made in Japan Tochigi Yaita factory, but due to the poor sales, the factory put out a 1 billion yen loss druing April 2014 to September 2014. This year, the overall TVs business of Sharp may lose about 10 billion yen, Tochigi Yaita factory my lose several billion yen in 4K2K and large-size TV manufacturing.

In addition to TV production, Sharp was also to cut the smartphone panel production for the weak sales of Chinese mobile phone, coupled with intense price competition, leading to the deterioration of profitability. Sharp’s Kameyama Gen 2 plant, a small and medium size panel fab, will shrink by 40% compare with the end of 2014.

Hsieh Yi-Qin, vice president of IHS-DisplaySearch, said the production-reducing of Sharp is a reaction of inventory-adjusting for exceeding inventory in Chinese smart phone panel; as 4K2K TV, the adjustment of Sharp is very slight, will not impact the market supply, the main reason of revenue sinking is still the loss of small and medium-size panels.

In the current global TV market, the Korean brands have technology and cost advantages, the Chinese brands have manufacturing advantages, while Japanese brands, including Sharp, have withdrawn from TVs market successively, and to increase the proportion of TV outsourcing, but the market share is still no improvement. The Japanese TV brands are expected to increase the proportion of outsourcing to reduce costs.