Pioneer Refocuses Plasma Strategy

Pioneer's decision last week to begin outsourcing the production of plasma display panels should not be seen as a wavering in the company's overall plasma TV strategy, according to a senior Pioneer exec. In an interview with TWICE, senior veep Russ Johnston says that Pioneer aims to continue bringing its Kuro technology -- with its focus on high black levels and contrast ratios -- to market, but that the plasma panel itself is enough of a commodity that it can be outsourced with proper oversight.

It wasn't that long ago that Pioneer bought NEC's plasma business, including a factory in Japan, and that retaining ownership of the PDP manufacturing process was considered critical to maintaining a high level of quality in the plasma display. With Pioneer's recent announcement of a joint venture with Sharp to produce LCD TVs for the European market, it will be interesting to see how successful the company is in transfering its Kuro technology from plasma to LCD -- and what that means for Pioneer's plasma TV business in the long term.