The overseas struggle between LG and Panasonic, who rank respectively second and third in the worldwide plasma monitor sector, has intensified. Panasonic (China) has disclosed that the company has sued LG in Japan, requesting a ban of LG plasma monitor panel sales in that country.

LG has responded. It has publicly formulated a three-step plan in response to the issue in which it will first bring a counter-lawsuit against Panasonic in a Japanese court, accusing the latter of infringing its patent rights and asking the South Korean government to forbid the import of Panasonic products. Second, LG will wage a legal battle against Panasonic worldwide, including using the WTO framework to help the company regain its losses. Third, LG plans to gather evidence of Panasonic's copyright violations, and then bring these to the attention of international courts.

Chinese industry analysts have disclosed in local media that the seemingly-limitless business opportunities in the plasma monitor market are the cause of this battle. The two companies started sparring after their amicable negotiations dissolved in August.

For Chinese TV manufacturers, this might be a good news. After the two companies elicit embargoes from their respective nations, plasma panel production will most likely flow into China. With the increase in supply, the price of plasma televisions in China might decline.

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