Organic light emitting diode (OLED) displays are to debut in Kodak digital cameras, according to an announcement today from the camera maker and Sanyo.

The two companies are joining forces to produce the displays at a factory in Japan and the first units off the production line are to be 2.2in models destined for use in Kodak's EasyShare LS633 digital camera.

The camera, which was announced at the annual Photo Marketing Association (PMA) convention in Las Vegas, will also feature a 3.1mp CCD and a 3x optical zoom. It will be sold worldwide for approximately £250.

Sanyo plans to use the displays in a mobile phone handset for the Japanese market.

OLED displays are widely expected to take over from LCD (liquid crystal display) screens as they offer brighter pictures, with richer colours and consume less power. Sanyo estimates that OLED screens consume 20 percent less power than an LCD, which is particularly useful in battery operated mobile devices like phones and PDAs.

The only downside is that this new screen technology costs around 50 percent more than traditional LCDs, but as volume increases prices should fall.