Full screen, 18.x:9 aspect ratio displays have become popular on premium smartphone models this year but full screen displays have led to further challenges in product design and processes. In addition, full screen 18.x:9 aspect ratio displays may create opportunities for developing new supply chain relationships among Chinese smartphone brands.
On 29 March, Samsung introduced its latest flagship models, the Galaxy S8 and S8+, equipped with 5.8″ and 6.2″ versions of its ‘Infinity Screen’. This is the second smartphone series (not counting the Xiaomi Mi MIX), after the LG G6, to adopt an almost bezel-less display for four sizes, and the move has increased the interest from other brands in developing full screen displays.
The ongoing full screen 18.x:9 aspect ratio trend
Compared to traditional 16:9 aspect ratio displays, 18.x:9 aspect ratio displays provide a larger display area on a mobile device of the same size. A slim bezel design can provide a unique and attractive appearance. More brands have become interested in full screen displays and are developing plans to adopt them. As the chart below shows, Apple will launch its first AMOLED iPhone in Q3 2017 and has adopted an 18:9 aspect ratio AMOLED display.
Unlike Samsung’s dual-edge design, Apple is expected to use a flat design. The top Chinese brands have developed similar product plans. Huawei was supposed to launch its first product with a full screen display late in Q2 2017 but has delayed the launch. Regardless, Huawei is strongly expected to launch its new Mate product in the fourth quarter with an 18.x:9 aspect ratio display from JDI. Oppo and Vivo are also planning to release smartphones with full screen displays in the second half of this year.
Impact on display supply chain
The 18.x:9 aspect ratio trend will gradually have an impact on the display supply chain with the most direct impact being an increase in demand area for premium models. Regardless, AMOLED and LTPS LCD capacities are increasing quickly and will fully cover the increase in area.
Another important effect will be the use of a COF (chip on FPC – flexible printed circuit) process. Most makers of smartphone displays, including TFT LCDs and rigid AMOLED displays, have adopted a COG (chip on glass) process to produce 16:9 aspect ratio products. For 18.x:9 aspect ratio products, a slim bezel design for the display driver IC bonding side is preferred. Therefore, a COF process is more competitive than a COG process. IC support and a high quality FPC source remain a bottleneck, but this is expected to improve in the second half of this year. For flexible AMOLED displays, Samsung Display is still the dominant player and adopted a COP (chip on plastic substrate) solution for the Galaxy Note 7.
Products with an 18.x:9 aspect ratio require a slim bezel design for the top and bottom, but for situations where the display encompasses the entire cover lens, the design will have an additional impact on the display supply chain. Makers will need to use a free-form design and a cutting solution. Unlike current products, which use ink printing to create four round corners, real full screen displays require a direct cutting process.
Flexible AMOLED products may adopt a laser cutting solution, which seems more competitive than the grinding solution used with TFT LCDs and rigid AMOLED displays. Also, the front camera and sensors are not easily integrated into the display and will require another free-form cutting process. TFT LCDs will require an additional free-form BLU process. Further impact will come from accomodating fingerprint solutions. The Galaxy S8 uses a rear-side fingerprint solution, but in the long run, under glass solutions will be preferred.
Relationships May Change
The 18.x:9 aspect ratio trend also creates an opportunity for supply chain relationships to change for premium models. Unlike Samsung, LGE, and Apple, Chinese smartphone brands have limited resources when it comes to 18.x:9 aspect ratio displays, and makers may win more orders for 16:9 aspect ratio displays. For example, Samsung Display was once the sole supplier for Oppo’s premium models, but Oppo later introduced JDI’s LTPS LCDs in the R9 and R9s series. Now, JDI is promoting its 5.99″ 18.x:9 aspect ratio displays for the Oppo models arriving in the second half of 2017. If this project goes forward then it will help JDI to win more LTPS LCD orders from Oppo and significantly hurt Samsung’s chances of achieving its targeted rigid AMOLED displays shipments.
Samsung Display is also developing 18.x:9 aspect ratio rigid AMOLED displays for Oppo. The final specifications are still under negotiation, but if Samsung Display wins the full screen display project, it will be very difficult for JDI to promote further shipments for Oppo in the second half of the year. Similarly, the development of 18.X:9 aspect ratio displays may change supply chain relationships for other brands.
Chinese panel makers such as BOE plan to offer full screen displays along with a-Si LCD products in the second half of this year, which may lead to a more complicated marketplace with regard to not only size and resolution trends but also the dynamics of the supply chain eco-system for many smartphone brands. – Terry Yu
Mr. Terry Yu is a Principal Analyst within the IHS Technology group. He joined IHS in November 2014, when IHS acquired DisplaySearch, a leader in primary research and forecasting on the global display market. At DisplaySearch, he served as an analyst, focusing on China’s small and medium displays and touch panels markets.
Prior to DisplaySearch, Mr. Yu was an assistant sales manager at AU Optronics, with four years of ES/FAE experience and three years in marketing intelligence. He has a bachelor’s degree in Environment Engineering from Huazhong University of Science and Technology, China
This article was previously featured in the IHS Display Dynamics Service and is reprinted by kind permission.
