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Company News >> Samsung spin-off OLED business LCD panel is slim 28th,June,2017
                                               In the field of display panels, OLED (organic light-emitting diode) technology is seen as LCD replacement technology, Apple's next year, OLED, OLED manufacturers to further promote the popularity. As a reflection of this industry trend, according to the latest news of foreign media, Samsung Electronics decided to its "Samsung Display Company" business spin-off, OLED will be divested out of the newly established company, leaving the future of LCD business will be very slim.
Samsung spin-off OLED business is looking for strategies to deal with LCD market
According to foreign technology media IBTimes reported that Samsung, an informed executive to the South Korean media confirmed that Samsung's display company has split the OLED business, more employees will join the OLED sector, the spin-off, Samsung Group is also the reorganization of the start Part of the profit business plan.
Through this spin-off, Samsung Electronics traditional LCD panel business and "Chaoyang" OLED business, will be parted ways.
The Samsung executives also said that after the spin-off, the LCD business will be at risk, "Now, Samsung is considering withdraw from the LCD business, LCD panel no development prospects, at a loss."
Samsung display company under the Samsung Electronics, Samsung Electronics holding 94.8%, Samsung Electronics co-CEO Wu Hyun direct leadership of the Samsung monitor.
According to market research firm UBI report, the first quarter of this year, Samsung display OLED panel delivery, surged 86.7%. In addition, the global market OLED delivery volume of 91.3 million, Samsung display a accounted for 95%.
Samsung display a spokesman said that the company is looking for strategies to deal with the needs of the LCD panel downturn.
It is well known that the LCD panel is still the mainstream display technology, but in the past few years, Chinese enterprises to build large-scale LCD panel production line, a substantial increase in supply, leading to global LCD panel prices fell, manufacturers profit margins fell. In addition to Samsung monitors, Sharp and other companies operating difficulties, but also from the same factors.
Samsung Electronics in the display panel business, is the focus shifted from the LCD to the OLED, especially the expensive small and medium size panels (for mobile phones and tablet PCs). According to foreign media news, Samsung Electronics and Apple have signed an agreement, will start from next year to Apple to provide 100 million mobile phone OLED screen, from 2017 onwards, Apple will be part of the mobile phone using OLED, 2018 is full use.
According to executives, Samsung Electronics may be the reorganization of the LCD business, the TV business sector directly by the acquisition of Samsung's LCD panel company's production line.
An investment bank in Seoul, an analyst said in the TV business, Samsung Electronics has not immediately transition to the OLED TV program, Samsung is still developing liquid crystal technology based on the quantum point of the TV.
Japan's Nomura Securities, a report pointed out that by 2018, OLED screen will account for one-third of the mobile phone screen market, display technology to OLED transition trend has been established. Nomura Securities also said that in the OLED screen, the Japanese companies have lagged behind the Korean companies.
It is reported that in the OLED panel, South Korea Samsung and LG has been basically monopolized the market, including Samsung main mobile phone and flat screen, LG is mainly concerned about the OLED TV screen, but LG has begun to consider the smart phone OLED screen to expand investment.
In the field of OLED screen, although Samsung Electronics is currently in a leading edge, but it needs to invest more resources to consolidate the advantages. Behind Samsung, there have been a large number of opponents ready to snatch Apple OLED screen contract, including South Korea LG, Japan monitor, Japan Sharp (Foxconn) these three.
Compared with the old LCD technology, OLED more energy-saving, better quality, greater viewing angle, the other can be flexible design. In a few years ago, OLED due to the delay in production costs can not be reduced, resulting in can not replace the LCD. But at present, the cost of OLED has been rapidly declining, to replace the ancient LCD technology curtain is about to open.

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