SDK to Form JV with Toyoda Gosei for GaN LED Business

Japanese company, Showa Denko K. K. (SDK) reports that it plans to form a joint venture with Toyoda Gosei for the production and sale of GaN LEDs.
Showa Denko K.K. (SDK) has decided to split its business in gallium-nitride (GaN)-based blue LED chips, and transfer 70% of shares in the new company to Toyoda Gosei Co., Ltd. (Toyoda Gosei), by the end of this year. The joint venture will be established in the area of GaN LED chips being produced at SDK’s plant in Chiba Prefecture.

SDK produces and sells a wide variety of LED chips, including aluminum-gallium-indium-phosphide (AlGaInP), gallium-arsenide (GaAs), gallium-phosphide (GaP) in addition to GaN. SDK says it is already cooperating with Toyoda Gosei, a maker and developer of GaN LEDs. SDK says that By establishing a joint venture with Toyoda Gosei for the GaN LED business, SDK will expand overall supply capacity. SDK indicated that that it hopes the cooperation will synergistically effect it R&D in improving brightness and production efficiency. SDK will reportedly continue its independent operations making LEDs with materials other than GaN. The joint venture is tentatively called TS Opto Co., Ltd.

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