What They Say
The Elec reported that although Samsung is expected to buy OLED panels from LG Display, pricing has been a challenge. Samsung is said to want to position OLED as not as good as its Neo QLED technology, but still wants a profit, so wants the panels more cheaply than LGD is offering. The report said that LGD has already offered a price around 10% lower than it offers to LG Electronics, but that is not low enough for Samsung which is said to want to pay the upper $500s or low $600s, around 10% less than the LGD offer.
What We Think
I mentioned in the Display Daily today, but I thought it worth picking out, in case you missed it. The positioning is interesting and causes a challenge for LGD which will want to sell panels in this kind of volume, but not at the kind of prices that Samsung would like. The issue for LG Display will surely be the pressure it will come under from other buyers if it offers this kind of price to Samsung. Of course, LCD TV panel prices are falling and that will put pressure on LG’s OLED pricing, anyway.
DSCC published this chart back in October. It shows that unless LG can exploit MMG technology (multi-mother glass i.e. mixed panel sizes on a single substrate) it can’t make any profit supplying WOLEDs to Samsung at $600. (BR)
