The Japanese electronics giant is expected to outsource 3-4 million units of TVs to various Taiwan firms this year, placing orders with Hon Hai Precision Industry and Qisda for the first time, the Economic Daily News said.

Shipments from the Taiwan makers are due to begin in the second quarter, the Chinese-language paper said.

Hon Hai will produce 32-37 inch flat-panel TVs for the Japanese client, while Qisda will manufacture Sony’s mid-range products and Wistron Corp. will produce the low-end ones, the paper said without elaborating.

Sony declined comment on the report, as did Qisda and Hon Hai.

Sony plans to ship a total of 18-20 million flat-panel TV units this year globally, and half of the panels will be bought from Taiwan LCD makers, including AU Optronics and Chi Mei Optoelectronics, the paper said.

At 0254 GMT, Hon Hai shares were down 2.01 percent, while Qisda shares had risen 3.51 percent, compared with a 1.18 percent drop on the benchmark TAIEX index.

Qisda Corp., the manufacturing unit of BenQ, said over the weekend that it was preparing to sell a stake in itself to a private equity investor for about US$164 million.

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