Sharp has announced a deal with Foxconn parent Hon Hai Production that will see the Japanese company increase its use of third-party components, while Hon Hai takes shares in its new partner's LCD business. Described by Sharp as a necessary step given the continuing price slump in the electronics business, stronger global competition, and a response to environmental changes, the deal will see Hon Hai grab 50-percent of the Japanese firm's holding in the Sakai LCD plant.
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