- Samsung Display had announced US$10.8 billion investment to produce advanced display panels last year
- The company will soon be halting production of LCD panels
Samsung Display has started transporting equipment required for manufacturing quantum-dot displays. The same will be done in Samsung’s plant in Asan, located near Seoul, South Korea.
The company might complete production setup by the end of 2020. Samsung, reportedly, will start test operations early next year. The same will be done in phases. Samsung Display had announced US$10.8 billion investment to produce advanced display panels last year.
In Q1 2020, Samsung Display, as per a report, led the smartphone display market with 52 per cent revenue share followed by BOE Technology and Tianma Microelectronics. Samsung Display maintained its position in the smartphone display category through its large panel production scale and high panel yield.
Declining demand for LCD panels
Weak global demand for TVs and smartphones may have encouraged Samsung Display to halt production of LCD panels. A report published by Reuters had pointed out that the Korea-based electronics giant will stop manufacturing LCD by the end of 2020.
The company has already suspended operations at one of its LCD manufacturing lines. Samsung Display has two LCD production lines located in Korea. The company has cited falling demand for LCDs as a reason behind the same.
Back in October 2019, the company had informed about investing 13.1 trillion Won (approx $10.72 billion) in facilities and research to upgrade the production line. Supplier of LCD panels to many, including Apple Inc, Samsung has been struggling with oversupply amid weak global demand.
The company is also exploring manufacturing capabilities in the folding-glass arena. The company retails two folding smartphone models in many markets currently. It is also a supplier of display panels for smartphones to many brands. Interestingly, glass is a critical part of the display panels.
Samsung’s mobile division has already met with some manufacturers of foldable-glass. Samsung used to source ultra-thin glass from Dowoo Insys. It is also to be noted here that the Korea-based company had acquired a share in Dowoo Insys in 2019.