After the name change, Chi Mei Electronics will take the next step or pull Hisense to "take in"?

According to industry analysis, after the name change, Chi Mei Electronics will be independent of Chi Mei Industrial's industrial cluster, better serve Honghai, and promote the integration of upstream and downstream of Hon Hai's color TV OEM business. In the next step, Legendary Industries may transfer the shares of Chi Mei Electronics, and China’s color TV company Hisense may take over.

The industry believes that after the name change, Chi Mei Optoelectronics will downplay the positioning of pure panel makers and turn to focus on supporting Hon Hai's color TV assembly strategy, becoming an important bargaining chip for Hon Hai to hold first-line brand customers such as Sony, Sharp, Apple and VIZIO.

It is rumored that Chi Mei Industrial will transfer the shares of Chi Mei Electronics, and China’s color TV company Hisense may take over. However, this statement did not receive a positive response from Hisense. According to the industry, whether Hisense and Chi Mei Optoelectronics will have capital cooperation still needs to be “in business.”

According to the semi-annual report of Hisense Electric, in April this year, Hisense invested NT$5 million (approximately RMB 1.0272 million) to establish a wholly-owned subsidiary in Taiwan to enhance its key resource support capabilities. However, Liu Hongxin, the general manager of Hisense Electric, said in an interview with this newspaper in September this year that the panel is over-represented in the long run. It does not enter the panel industry. Each family has different strategies, and Hisense will not enter for the time being.

Benefiting from the increased orders from Japanese TV manufacturers, it is expected that the market share of Chi Mei Optoelectronics and AUO two Taiwanese manufacturers in the global TV LCD panel market will remain at 38% in 2011.

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