Eastman Kodak and Sanyo are forming a joint venture to make high-tech displays for mobile phones, PDAs and digital cameras.
The £2.8 million venture will begin producing electro-luminescent (EL) panels at a Japanese Sanyo plant next year.
The technology is seen as a replacement for liquid crystal displays.
The alliance will initially focus on the manufacture of small-scale electro-luminescent screens for mobile computing devices, phones and cameras.
But there are already plans to eventually extend this to the production of TV screens.
A Kodak spokesman says the target is to achieve sales of £285 million (or 50 billion yen) by 2004.
He said Sanyo will take a 60 per cent stake in the venture.
