I was attending the recent DSCC Display 360 Conference in Silicon Valley and found it inspired me to write this piece. Because, as 2024 winds to a close, the display industry stands at an intriguing crossroads. Having spent 27 years in this ever-evolving field, I’ve witnessed multiple cycles of excitement and disappointment. From the rise of OLEDs to the current buzz around MicroLEDs and AR/VR innovations, the industry’s progression has been shaped by waves of euphoric investment and tempered by periods of sobering reality.
Navigating Industry Cycles
In the past, we’ve seen quantum dots and OLEDs spark euphoria, leading to sometimes reckless investment in companies that lacked long-term viability. The problem, as I see it, is the oscillation between too much optimism, which drives unsustainable expectations, and periods of stagnation, where good companies struggle to secure funding. Right now, though, the industry is in a more balanced state — realistic yet optimistic. This gives us an opportunity to focus on genuine innovation rather than the flashiness of the latest buzzwords.
TV Still Reigns Supreme
Even as new technologies emerge, the television market continues to dominate the display industry. At 70% of total display area, TV sets are the backbone of the industry, driving trends and innovations. Despite the emergence of more advanced technologies, such as OLED and Mini LED, consumers remain largely drawn to high-quality yet affordable LCD options.
The major players — Samsung, LG, Sony, and TCL — are all competing in this space, with varying degrees of success. Interestingly, while White OLED from LG and QD OLED from Samsung are holding their own in the premium segment, MiniLED-backed LCDs continue to provide a strong value proposition, offering larger sizes at lower prices. There’s also increasing interest in advertisement-supported models, where users get a lower-priced or even free TV in exchange for being exposed to advertisements. This could be a game-changer in the future of TV.
The Smartphone Push and the AR/VR Promise
Beyond televisions, smartphones are a driving force behind innovation in the display market. Many companies are betting on the integration of artificial intelligence (AI) features to improve everything from graphics to user experience. With AI’s capability to enhance smartphone functionality, we are entering an era where these devices will require even more powerful chips, which presents an opportunity for the semiconductor industry.
Meanwhile, AR and VR are poised to be the next frontier in display technology, though they haven’t yet lived up to their full potential. While high-end VR currently relies on OLED, mainstream options still utilize LCD. However, the future of AR seems closely tied to MicroLED technology, which offers the brightness and clarity needed for immersive experiences. Although the road ahead for AR and VR is uncertain, it’s clear that many companies, both large and small, are investing heavily in these sectors.
Silicon Valley: The Industry’s Invisible Hand
While the production of display technology may be concentrated in Asia, the heart of innovation lies in Silicon Valley. The region serves as the strategic hub for the industry, driving decisions and setting trends. Companies like Apple, Google, and Meta lead the charge, pushing display technologies toward AI integration, while tech giants like Samsung and LG maintain significant presences here to stay connected to customer needs.
What’s particularly interesting is how MicroLED technology is turning the display industry into something that more closely resembles the semiconductor industry. Companies are working on innovations that eliminate traditional components, like the TFT backplane, transforming displays into something more akin to chips. This shift could lead to a wave of new investment from Silicon Valley’s robust semiconductor ecosystem.
The Road Ahead
As we look to the future, the display industry will continue to grapple with a delicate balance between hype and reality. While TV and smartphone markets remain foundational, advancements in AR, VR, and AI-driven devices could unlock new avenues for growth. The industry’s next big breakthrough may very well come from Silicon Valley, where display technology increasingly overlaps with semiconductor innovation. Whatever the future holds, it’s clear that the display industry is at a pivotal moment in its evolution.
Sri Peruvemba is CEO of Marketer International Inc. and a volunteer at SID. Peruvemba was previously Chief Marketing Officer for E Ink, where he played a major role in transforming the startup to a $1B+ global company. Peruvemba won SID’s 2022 Lewis and Beatrice Winner Award. Peruvemba has also held senior level positions at Sharp Corp, Cambrios, Novasentis, TFS Inc., Planar Systems, and Suntronic Technology. Based in Silicon Valley, Peruvemba advises high tech firms globally as well as serves on the boards of Edgehog, Omniply, SmartKem, Visionect and WiSA Technologies. He has BS and MBA degrees and a post-graduate diploma in management. Peruvemba is also a right arm off-spinner for a Cricket team he co-founded in Silicon Valley.
