LGD force small and medium size OLED panels, Samsung status is not guaranteed?

The world-famous panel maker LG Display will have new investments in small and medium sized OLED panels. Recently, Korean media reported that LGD plans to invest 4 trillion won (approximately US$3.56 billion) in a new plant located in the Paju area of ​​South Korea in 2018 to build a sixth-generation flexible OLED (organic light emitting diode) production line. However, with regard to new plant investment, the specific investment direction is still under review and no decision has been made yet.






Samsung is a leader in small-sized OLED panels


When Apple turned to OLED panel, this undisclosed investment revealed the signal of LGD's OLED panel's transformation from large size to medium and small size. Samsung has taken the vast majority of Apple's OLED orders, but as domestic panel makers and Japanese panel makers focus on volume production in the next two years, LGD's second position is not good to sit.


If the new OLED Sixth Generation Line determines investment, this will be LGD's third OLED Sixth Generation line. The last OLED Sixth Generation investment was announced in July 2016. LG Display announced that it will invest 1.99 trillion won to build a new six-generation (1500mm×1850mm) flexible OLED production line E6 at the Paju Plant in Gyeonggi, South Korea. The E6 will be deployed at the P9 plant in Paju, South Korea, with a planned production capacity of 15,000 pieces per month and is expected to be produced in the second half of 2018. LGD said at the time that the new production line was part of its efforts to advance and lead the "flexible OLED screen era" of mobile devices. In May this year, Korean media also said that LGD plans to invest in the second stage of the E6 plant this year, and the investment amount may be between 1.5 trillion and 3 trillion won. Its capacity may also be further expanded to produce 45,000 OLED panels per month.






LG Display has been focusing on large-size OLED panels


The first six-generation line of LGD was announced in July 2015. LGD announced at the time that it invested 1.50 trillion won in Gumi Plant in Gyeongsangbuk-do to build a 6-generation flexible OLED production line. The factory, named E5, plans to produce 7,500 glass substrates per month and plans to start production in the first half of 2017. Sources said that the E5 plant will be in volume production in July this year, and the first shipments will be supplied to Chinese mobile phone maker Xiaomi.


In addition, LGD also has a production line of 4.5-generation flexible OLED panel production line E2 in Paju, South Korea. OLED has long been the focus of LGD's investment. However, LGD was previously considered to be more concerned about OLED large-size panels. LGD has two OLED eight-generation lines, E3 and E4, on a large scale. The total annual production capacity is 34,000 glass substrates. The P10 plant under construction is the world's largest production line for OLED-based panels. In November 2015, LGD announced plans to build a new OLED panel line in Paju, South Korea, and the total investment is expected to exceed 10 trillion won. However, according to sources, it is expected that 70% of the production capacity of the P10 plant will be small and medium-sized OLED panels.


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