AUO is “Cautious” About OLED Investment

AUO chairman and CEO Paul Peng has said that the company will take a “cautious” attitude to OLED investment.

Peng does not think that OLED panels will replace LCD products in the short-term (two-to-three years), he said at a recent event. AUO expects large increases in OLED production capacity in 2018, due to Chinese makers’ investment. However, it is not clear if demand will reach the level of supply.

Company president Michael Tsai said that AUO is currently developing 3.8″ and 5.2″ displays for use in VR devices, as well as flexible OLED products.

Peng also touched on TFT-LCD panel capacity. He said that AUO’s G8.5 plant is not sufficient to meet demand – particularly of UltraHD and curved panels. AUO plans to increase shipments of added value TFT-LCD panels; for example, it intends to ship 10 million curved panels this year, up from 4 million in 2015. AUO also aims to raise shipments of non-consumer TFT-LCD panels.