Thomson looks to capitalise on Asia media space

MUMBAI: French Electronics and media services company Thomson has outlined a strategic growth map for the next two years.

As far as the media and entertainment sector is concerned the company is looking to broaden the offering to existing clients and expand client base including Asia.

The company is looking to double the number of clients with whom it generates over E25 million in sales. It is also looking to add at least five new revenue-generating activities to its portfolio.

One major change is that the company will no longer manufacture television sets. It will sell its tubes and display business. Instead the group will focus on media technologies like technology for set top boxes. It plans to raise its profile in technology-related debates and industry choices.

It is looking to double revenues in technology from the current E150 million. The core research budget will go up by 50 per cent in 2005 and 2006.

Thomson chairman and CEO Frank Dangeard said, "Our two-year plan is driven by the way in which we see our core markets and client base evolving through 2010. Based on this long-term view, we have defined our 2006 strategic priorities and, in each case, we have clear roadmaps and targets.

"The group has new momentum, reflected in a simple and flexible organisation. By 2006 we will be fully focussed on the media and entertainment industries, have a more diversified spread of activities and a broader client base, and will be uniquely positioned to benefit from the rapid pace of technology change in these industries."

In the framework of its two year plan, Thomson has significant revenue generating business units which will remain "locomotives" for growth. This includes physical media in the form of film and DVDs.

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