Audio Video News

In a possibly momentous move, Sharp acquired a significant stake in Pioneer late last year. Sharp's $358 million investment bought it 14 percent of Pioneer, making it the latter's biggest shareholder. Pioneer also acquired 0.9 percent of Sharp.

According to Bloomberg, the alliance will enable Sharp to "reduce costs in high-definition DVD [presumably Blu-ray] players and enter the car navigation market." By pooling resources, both companies will be able to develop products more quickly.

For Pioneer, a longtime plasma stalwart, the alliance with a major LCD manufacturer will offer entry into the other side of the flat-panel marketplace. This has already led to speculation that Pioneer may discontinue smaller 720p plasma models, though Pioneer declined to comment on that.