A new joint venture between Eastman Kodak and Panasonic Disc Services will create between 70 and 100 new jobs at Kodak's Cork plant next year.

The two firms have announced the formation of Matsushita Media Manufacturing LLC of America to manufacture and supply optical media products to both parent companies.

The establishment of the joint venture will lead to an expansion of Kodak's manufacturing facilities in Cork and Mexico, both of which will become part of the new company.

Panasonic, a wholly owned subsidiary of Matsushita Electric Industrial Co, will hold a 51 per cent stake in the venture while Kodak will own 49 per cent.

Both companies will contribute financial as well as other assets, including intellectual property and technical expertise, to the new company.

At present, the Youghal facility manufactures CD-R discs for Kodak but, from next year, it will also produce DVD discs for Panasonic, resulting in the expansion of the workforce from the current level of about 280.

DVD players are one of the fastest-growing products in consumer electronics history, with sales in the US expected to top 3.5 million units this year. The CD-R market is also growing rapidly and sales are expected to increase from 1.6 billion units in 1999 to 2.9 billion units next year.

"By combining the strengths of Kodak and Panasonic, we will be able to reach a larger portion of the world market," said Mr Gregory Glenn, plant manager at Kodak in Cork. "By drawing upon the unrivalled technical knowledge of our two companies, we will undoubtedly discover opportunities to unleash new uses for CD-R and DVD media."