What They Say
Although LG will eventually (when yields are better) reduce the price of its WOLED fab in Guangzhou below that in Korea, the firm will still see competition from miniLED + QD LCD panels from G10.5 fabs in China will be around 8% cheaper next year for 65″. That’s based on MMG manufacturing, which gives a better yield of saleable glass. For 55″, miniLED is slightly lower than OLED but at larger sizes, LCD will have a bigger cost advantage.
What We Think
Will the size of TVs continue to develop. If so, the disadvantage of WOLED at 75″ may become more of an issue in the longer term. For vertically integrated brands such as TCL, there is a real advantage to getting away from having to buy panels from LG. The forecasts for cost depreciation show that the rate of cost decline is faster for LCD than OLED, which should see a big drop next year and a significant drop the year after, but then a relative levelling of costs. (BR)
