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>> OLED will become mainstream mobile phone panel until 2019 will still be in short supply 26th,Apr,2018
Apple will launch an iPhone with an OLED panel this year, which will drive South Korea, China, Japan and other panel makers to actively invest in OLED. However, OLED is limited by the yield problem, and its production capacity is not equal to output, according to the market adjustment agency Display Supply Chain Consultants (DSCC). ) It is estimated that OLED will continue to be in short supply until 2019, and following adoption by Apple, Samsung, and Chinese brands, OLED smart phones will surpass LCD panel phones by 2019.
According to the latest DSCC research report, from 2016 to 2021, there are 62 OLED investment plans globally. It is expected that the supply capacity of OLED equipment will grow from 75 million square meters in 2016 to 40.4 million square meters in 2021, with a compound annual growth rate. Up to 52%, of which 70% capacity is locked on mobile phone panels, and more than half are planning to do flexible displays.
DSCC pointed out that currently OLED production capacity is still concentrated in South Korea. In 2016, South Korea’s OLED market accounted for 92%, but it is expected to drop to 63% by 2021. The rise is China. After China’s LCD industry, it’s been crazy to invest in the last two years. OLED builds a factory, DSCC predicts, China's OLED market share will grow from 6% in 2016 to 32% in 2021, the compound annual growth rate reaches 135%.
Apple, Samsung lift demand
From the perspective of demand, DSCC estimates that OLED panel demand will be about 389 million pieces in 2016, and it is expected to grow to 144 billion pieces by 2021. The compound annual growth rate is 36%. The mobile phone is the most important application, accounting for 99%, followed by VR and smart watches.
OLED TV panels are expected to reach nearly 7 million units in 2021 with an annual growth rate of 66%. However, in the TV market of about 200 million units a year, the proportion is still low.
However, in the mobile phone market, OLED adoption of the Apple iPhone, DSCC estimates that 25 to 30% of OLED production capacity will be needed for Apple this year, plus Samsung is also arching the OLED panel and adopting an active take-out strategy to obtain a Chinese mobile phone panel factory. Actively adopted, DSCC estimates that the share of OLED panels for smart phones in 2019 will exceed that of LCD. LCD smartphones are expected to grow from 12 billion units in 2016 to 750 million units by 2021.
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