What They Say
The Elec reports that Samsung has started to order equipment for a new G6 flexible OLED production facility (A4E) in Asan, Korea. The plan is to boost capacity to make up for the drop in capacity caused by the introduction and increase in the supply of LTPO and Y-OCTA displays. Both of these technologies require extra processing steps and reduce the effective capacity when implemented on existing lines. The new facility is expected to start ramp-up early in the second half of next year, with full operation by the end of the year.
The new line is said to be better optimised for these more complex displays and input capacity is 30K 1500 x 1850 substrates.
As a result of the investment, which will be active slightly later than Samsung hoped because of supply chain issues. the capacity for flexible displays will be back to 2019 levels, according to the report.
What We Think
Samsung has to keep pushing the more developed technologies to keep distance between itself and the Chinese chasers. DSCC pointed out just a few months ago that mobile OLED capacity will be in over-supply. However, it may be that the demand for LTPO and other premium OLEDs will still be tight in capacity. (Q2 OLED Supply/Demand Update – Oversupply to Persist) (BR)
