AUO Sells Off 3.5G LCD Plant

AU Optronics (AUO) has sold one of its 3.5G production lines to networking/communication device maker, Wistron NeWeb. The facility, which AUO said uses out of date technology, was sold for NT$810 million ($25.6 million) for a capital gain of NT$550 million ($17 million).

The company has three remaining 3.5G fabs, two of which are still in production and one, L3B, which has been converted for experimental production.

AUO plans to use NT$40 billion ($1.2 billion) of its 2015 capex budget and a further NT$40 billion in 2016 to expand an 8.5G production line in Taiwan, as well as establishing a 6G LTPS production facility eastern China. The 6G LTPS line is scheduled to enter production in the second half of 2016, primarily producing panels for Chinese vendors’ mid-range and high-end smartphones.