Tue, Aug 03, 2004 - Page 10 News List

AU Optronics on track to open plant ahead of time

BLOOMBERG

AU Optronics Corp (友達光電), the world's third-largest maker of flat-panel displays used in computers and televisions, said it expects to open a factory about three months ahead of schedule.

The company expects to start production at a so-called sixth-generation plant by the first quarter next year, it said in an e-mailed statement. The plant will make glass sheets measuring 1,500mm by 1,850mm from which television-sized screens can be cut.

Total investment in the first phase of the factory complex, including plants that will make parts and assemble displays, will exceed NT$80 billion (US$2.3 billion).

The plant will make 90,000 sheets per month when it reaches full capacity.

AU Optronics and rivals are increasing output of larger glass panels to help pare production costs. The global market for liquid crystal displays this year will rise 44 percent to US$47.7 billion as bulkier, traditional TVs and monitors are replaced, market researcher DisplaySearch said in a June report.

AU Optronics on July 22 said its production capacity will increase in a plant that makes so-called fifth-generation (5G) glass mea-suring 1.m by 1.3n. The 5G production line will increase monthly output to 70,000 glass sheets by the end of this year from 60,000 sheets currently.

The company can cut as many as 12 screens measuring 17 inches diagonally from the fifth-generation glass.

AU Optronics has another fully equipped fifth-generation facility that has a monthly output of 50,000 sheets.

Samsung Electronics, has said it plans to spend 20 trillion won (US$17 billion) over 10 years on a flat-screen complex in South Korea.

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