Multiple sources in Asia are saying that Samsung Display and Canon Tokki have resumed their negotiations on the price of Gen 8.6 OLED evaporation machines. Once at a deadlock, these negotiations seem to be progressing positively now, and a supply contract worth between 1 trillion and 2 trillion won (approximately $780 million to $1.56 billion) is expected to be signed soon. This will pave the way for Samsung Display to set up a trial production line and potentially start producing OLEDs for IT applications by the first quarter of next year.
The urgency of these negotiations and subsequent production plans is driven by an expected surge in demand for IT-specific OLEDs. Apple has indicated its plan to start using OLEDs in iPads and MacBooks from next year. However, Canon Tokki had initially insisted on a high price for each OLED evaporation machine, justifying the cost by stating that Apple prefers using tried-and-tested devices. Following discussions with Samsung Display, they have adjusted this pricing to an unspecified but reportedly more reasonable level. Furthermore, Samsung Display has placed orders for OLED equipment from several Korean partner companies, indicating full steam ahead on the production front.