Korean panelmakers in rush to jack up OLED panel output

By KH디지털2

Published : March 22, 2017 - 15:11

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Samsung Display Co., a major flat panel maker, and its local rival LG Display Co. are moving to increase the output of organic light-emitting diode panels to meet growing demand and jack up their profitability, an industry analyst said Wednesday.

"South Korean companies are making various preparations to switch from LCD to OLED," Park Jin-han, an analyst from the industry tracker IHS, said at a forum in Seoul.

Samsung Display Co.'s production line of organic light-emitting diode panels (Yonhap)

Samsung Display's LCD panel production line in South Korea, which was closed late last year, will resume making OLED panels starting later this year, Park said citing sources. The analyst said Samsung is expected to boost its profitability from the shipment of OLED panels rather than making LCD ones.

LG Display Co. is also considering closing down older facilities to focus on the production of the latest OLED products, he added.

Global panel manufacturers have been speeding up efforts to expand production of large-sized OLED panels in line with rising demand for premium TVs. The increased sales of smartphones with mid- and small-sized OLED panels are also lending weight to the rosy outlook for the industry.

Samsung Display is anticipated to allocate 5 trillion won ($4.4 billion) or more this year in line with its switch to the OLED industry, while LG Display also announced it will invest more than 5 trillion won in 2017 to expand its facilities.

The Institute for Information & Communications Technology Promotion expects the world's OLED market to grow 32 percent on-year to reach $19.2 billion this year. (Yonhap)

Korean panelmakers in rush to jack up OLED panel output

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