A joint venture between Toshiba and Matsushita said on Wednesday it aimed to launch TV-use organic light-emitting diode (OLED) panels in three years, taking aim at a $35 billion market dominated by LCD and plasma panels.

Toshiba Matsushita Display Technology Co. Ltd., owned 60 percent by Toshiba and the rest by Panasonic maker Matsushita, aims to start commercial production of OLED panels for flat TVs by 2009, a spokesman for the venture said.

OLED panels are said to be energy-efficient, make thin and light displays, and have strength in showing fast-moving images.

Besides Toshiba Matsushita Display, Sony Corp. develops OLED panels for TVs. Sony also said on Thursday it planned to start selling ultra-thin TVs using organic light-emitting diode (OLED) technology this year, likely becoming the first to market with a TV using the promising next-generation display.

OLED displays are already used in digital cameras, cellphones and other devices with relatively small panels. But cost and technology hurdles have so far prevented them from being mass produced for use in larger equipment such as TVs.

In 2007, the market for TV-use liquid crystal display (LCD) modules is expected to come to $27.4 billion, while demand for plasma panel modules will likely total $7.5 billion, according to research firm DisplaySearch.