samsung lcd display factory

In 1991, a business unit called Samsung Display was formed to produce the panels used in products made by its parent company, Samsung Electronics. Afterward, it was a leading supplier of LCD panels not just for Samsung Electronics but for other companies in the industry as well.

The business received a stay of execution when the pandemic led to a global surge in demand for consumer electronics, but that demand is now declining, and projections aren"t good for LCD panel revenue.

Add to that the fact that emerging technologies like QD-OLED are the future for TV and monitors, and the case for keeping Samsung Display"s LCD business going becomes a hard one to make.

It was previously reported that Samsung planned to sunset the business at the end of 2020, but The Korea Times claims that the faster-than-expected falloff in consumer demand accelerated the timeline.

Samsung Display will now focus heavily on OLED and quantum dot. Most of the employees working in the LCD business will move to quantum dot, the publication claims.

The Korea Times has accurately reported similar stories like this before, but it has also occasionally missed the mark, so keep an eye out for an official statement from Samsung.

Even if there isn"t a statement about a change in direction, the writing has been on the wall for Samsung"s LCD business. Unless something radical changes, it"s more a question of when than if at this point.

Samsung Display (Hangul: 삼성디스플레이), formerly S-LCD Corporation (Hangul: 에스 엘시디, Japanese: エス・エルシーディー), is a South Korean manufacturer of OLED panels and formerly a manufacturer of amorphous TFT LCD panels, owned by Samsung Electronics.

The company was established in April 2004 in Chungcheongnam-do, South Korea as a joint venture between Samsung Electronics Co. Ltd (51% share) and Sony Corporation (now known as Sony Group Corporation)(49% share).

S-LCD, as of April 25, 2008, operated with a monthly production capacity of 100,000 seventh-generation amorphous silicon (a-Si) panels and 50,000 eighth-generation panels based on PVA technology,Samsung Electronics and Sony LCD televisions. S-LCD originally had production facilities in both Japan and South Korea. Due to rising costs and an increasing demand from the Latin American market, S-LCD opened production facilities in Baja California, Mexico, where both Samsung and Bravia have large LCD production facilities.

On December 26, 2011, Samsung Electronics announced that it will acquire all of Sony"s shares. On January 19, 2012, Sony sold to Samsung all of its shares of S-LCD for 1.07 trillion Korean won (72 billion Japanese yen) in cash.

2008: Sony and Samsung announce that due to increased demand, a second eighth-generation production line will operate in the S-LCD factory in the second quarter of 2009.Sharp Corporation, in order to compete effectively with Samsung, a task made difficult by their current collaboration.

December 2011: The company"s partners announce that Samsung will acquire Sony"s entire stake in the joint venture, making S-LCD Corporation a wholly owned subsidiary of Samsung Electronics.

The decision to close the LCD business, by Samsung Display, will be completed by June of 2022 as the company faces tough competition from its Chinese and Taiwanese counterparts, reports GizmoChina.

The company has decided to focus on manufacturing organic light-emitting diode (OLED) and quantum dot (QD) displays, as OLED panels have started to become the norm in the smartphone market.

A recent Display Supply Chain Consultants (DSCC) revealed that the price of an LCD is 36.6 per cent of what it used to be in January 2014, the component"s peak production period.

No investment plan details have since been announced, and the employees of the LCD business are expected to be transferred to the QD business, the report said.

Samsung Display had decided to close its LCD business in late 2020, but the plans were delayed at Samsung Electronics" request due to a sudden increase in the prices of LCD panels during the Covid-19 pandemic.

Samsung Display will shut down its LCD production at the end of June, full six months ahead of the previously announced schedule. Industry insiders revealed competition has been too fierce and Samsung Group wanted to limit losses.

Reports from Display Supply Chain Consultants revealed the price of an LCD is 36.6% of what it used to be in January 2014, the component’s peak production period. This is in no small part due to makers like BOE from China and AU Optronics from Taiwan to join the battle and offer lower prices to clients.

The LCD business was initially scheduled to close in 2020 but with the arrival of COVID-19 and the need of affordable devices for home entertainment (including cheap smartphones and tablets), Samsung decided to postpone this major step.

Samsung Display will stop producing LCD panels by the end of the year. The display maker currently runs two LCD production lines in South Korea and two in China, according to Reuters. Samsung tells The Verge that the decision will accelerate the company’s move towards quantum dot displays, while ZDNetreports that its future quantum dot TVs will use OLED rather than LCD panels.

The decision comes as LCD panel prices are said to be falling worldwide. Last year, Nikkei reported that Chinese competitors are ramping up production of LCD screens, even as demand for TVs weakens globally. Samsung Display isn’t the only manufacturer to have closed down LCD production lines. LG Display announced it would be ending LCD production in South Korea by the end of the 2020 as well.

Last October Samsung Display announced a five-year 13.1 trillion won (around $10.7 billion) investment in quantum dot technology for its upcoming TVs, as it shifts production away from LCDs. However, Samsung’s existing quantum dot or QLED TVs still use LCD panels behind their quantum dot layer. Samsung is also working on developing self-emissive quantum-dot diodes, which would remove the need for a separate layer.

Samsung’s investment in OLED TVs has also been reported by The Elec. The company is no stranger to OLED technology for handhelds, but it exited the large OLED panel market half a decade ago, allowing rival LG Display to dominate ever since.

Although Samsung Display says that it will be able to continue supplying its existing LCD orders through the end of the year, there are questions about what Samsung Electronics, the largest TV manufacturer in the world, will use in its LCD TVs going forward. Samsung told The Vergethat it does not expect the shutdown to affect its LCD-based QLED TV lineup. So for the near-term, nothing changes.

One alternative is that Samsung buys its LCD panels from suppliers like TCL-owned CSOT and AUO, which already supply panels for Samsung TVs. Last year The Elec reported that Samsung could close all its South Korean LCD production lines, and make up the difference with panels bought from Chinese manufacturers like CSOT, which Samsung Display has invested in.

Samsung has also been showing off its MicroLED display technology at recent trade shows, which uses self-emissive LED diodes to produce its pixels. However, in 2019 Samsung predicted that the technology was two or three years away from being viable for use in a consumer product.

By Lee Kyung-minSamsung Display has decided to close its liquid-crystal display (LCD) business in June, hobbled by a declining global competitive edge due to cheaper products made by its Chinese and Taiwanese counterparts, according to the industry, Sunday. No investment plan details have since been announced.The decision by the display affiliate of Samsung Group came six months sooner than expected, due in large part to rapid losses from falling LCD prices.According to Display Supply Chain Consultants (DSCC), a U.S. market research firm, the average price index of LCD panels, measured against 100 in January 2014, will fall to 36.6 in September of this year. The figure has dropped farther from the record low of 41.5 in April of this year, and 58 percent lower than the record high of 87 in June 2021.Also factored in was Samsung Electronics, the largest buyer of Samsung Display products, partnering with overseas LCD suppliers, including BOE Technology Group, a Chinese electronic components producer and AU Optronics Corp. (AUO), a Taiwanese LCD panel maker.The display affiliate initially sought to close its LCD business in late 2020, but the plan was delayed at the request of its parent company, Samsung Electronics, due to a sudden spike in LCD prices amid the COVID-19 pandemic.Samsung Display will no longer produce LCDs used for large TV screens and focus instead on manufacturing organic light-emitting diode (OLED) and quantum dot (QD) displays. The employees of the LCD businesses are expected to be transferred to the QD businesses.The display affiliate was first formed in 1991, as an LCD business arm under Samsung Electronics. It formally launched in 2012 as Samsung Display and has since merged with three local and Japanese makers of active matrix organic light-emitting diodes (AMOLED), for the production of advanced types of displays.Samsung Display was unavailable for comment.

A promotional image of a quantum-dot LED TV (Samsung Electronics)Samsung Display, the display making arm of Samsung Electronics, is poised to fully shut down its unprofitable liquid crystal display panel business for televisions in June, after over 30 years of operation.

“(Samsung Display) will terminate its supply of LCD panels in June,” an industry source said Monday. The company has been manufacturing its lower-end panels in Asan, South Chungcheong Province.

The long-awaited move came as LCD TV panel prices have been on a constant decline. This led to greater losses for Samsung Display, while Chinese competitors have been ramping up their dominance in the global industry supported by state subsidies and tax breaks.

LCD TVs are considered lower-end when compared to those using cutting-edge TV components such as organic light-emitting diode panels and quantum dot display panels.

According to market intelligence firm Omdia‘s estimate compiled by Daishin Securities, 43-inch LCD panel prices fell 46 percent from September 2021 to May this year, while that of 55-inch panels and 65-inch panels both declined 34 percent over the cited period.

This marks the end of Samsung’s three-decade LCD TV panel business. Once the largest LCD TV panel supplier in the world, Samsung Display‘s market share has gradually shrunk from 22 percent in 2014 to around 2 percent this year.

Samsung Display had sought to exit the business from before 2021, but has been hanging on in part due to Samsung Electronics’ LCD panel supply shortage.

Choi Kwon-young, executive vice president of Samsung Display, confirmed the company’s full exit from the LCD TV panel business within this year in a first-quarter conference call in April.

Given that Samsung’s LCD TV panel exit has long been anticipated and carried out gradually, Samsung Electronics will “unlikely be affected by Samsung Display‘s LCD panel exit” in terms of its continuity in the LCD TV set business, noted Kim Hyun-soo, an analyst at Hana Financial Investment on Monday.

Samsung looks to pivot to quantum dot display technologies for its TV panel business, using quantum dot light-emitting diodes or quantum dot organic light-emitting diodes.

As for the anticipated collaboration between TV maker Samsung Electronics and the world‘s sole white-OLED TV panel supplier LG Display, Kim of Hana said the launch of Samsung’s OLED TV is unlikely within this year due to prolonged negotiations.

It’s the end of an era for LCD panels, or at least for those manufactured by Samsung. The Korean firm has been teasing the end of its LCD manufacturing for years, but now, the deadline is about to be reached. From June 2022, Samsung Display will no longer produce liquid-crystal displays (LCD). This does not mean that the end of LCD panels in smartphones, computers, and other electronics. It’s just Samsung leaving the segment due to tough competition from its Chinese and Taiwanese counterparts.

Instead of keeping a tepid LCD business, the company will shift efforts to OLED (organic light-emitting diode) and QD displays. The OLED panels have become the “best” for the smartphone market. There is still a predominance of LCD screens, but most of the flagship, premium mid-range, and even conventional smartphones are getting OLED displays nowadays. LCDsare still very popular in the segment of PCs and laptops, however.

According to Display Supply Chain Consultants (DSCC), the average price index of LCD panels, measured against 100 in January 2014, will fall to 36.6 in September of this year. The figure has dropped farther from the record low of 41.5 in April of this year. It’s also 58 percent lower than the record high of 87 in June 2021.

Unfortunately, no investment plan details have since been announced. However, the employees of the LCD business should retain their jobs. The company will likely move them to the Quantum Dot Display business. Worth noting, that Samsung has been trying to leave the LCD segment since 2020. The initial plan was to close the business at the end of 2020. However, these plays have been delayed by Samsung Electronics. The sudden increase in the prices of the LCD panels during the COVID-19 pandemic urged Samsung Display to keep the manufacturing for a while. This resulted in an entire 2021 of continuous manufacturing. Now, however, the business seems to have reached the deadline.

The display affiliate was first formed in 1991, as an LCD business arm under Samsung Electronics. It formally launched in 2021, as Samsung Display. It has merged with three local and Japanese makers of active-matrix organic light-emitting diodes (AMOLED), for the production of advanced types of displays. The company will no longer produce the panels for Samsung TVs which will likely push forward the portfolio of QD and OLED smart TVs.

The mid-range segment of smartphones may not suffer a big impact. After all, there are countless LCD makers still operating in the industry. As far as the mobile segment is concerned, the company is doing a good job. The Galaxy S22 series is successful in China, and the company is preparing the terrain for the Galaxy Z Fold 4. The flagships and the foldable offer the best Samsung has been developing in display tech.

Samsung’s display-making subsidiary, Samsung Display initially decided to shut down its LCD business by the end of 2020. The company was reportedly forced to reconsider after the demand for LCD panels increased in the post-pandemic (Covid-19) period. In 2021, more reports suggested that the company again decided to stop producing LCD panels, but Samsung didn’t stop making them. However, according to a report by Sammobile, Samsung Display is now finally ready to shut down its LCD production. The report also suggests that Samsung is now buying LCD panels from China.

As per the report, Samsung might be planning to shut down LCD panel production in June as it doesn’t align with Samsung Display’s long-term vision for the business. The company plans to substitute LCD panels with Quantum Dot (QD-OLED) displays as Samsung recently repurposed an obsolete LCD plant to produce OLED panels.

The company is not willing to compete in a market that’s dominated by affordable panels from Chinese and Taiwanese counterparts. The falling prices of LCD are also preventing Samsung from continuing production, the report claims.

Samsung Display’s largest buyer was the consumer electronics arm of the conglomerate, Samsung Electronics. However, the company itself is opting for affordable LCD panels from Chinese and Taiwanese suppliers. Samsung Display is expected to primarily focus on the manufacturing of Quantum Dot and OLED displays after its LCD business shuts down. The employees appointed for the LCD production are also likely to be transferred to the QD division.

Long-time display manufacturer Samsung Display will likely stop the production of LCD displays this year. A recent report says several factors have influenced the South Korean firm’s decision.

Samsung has been a reputed LCD display manufacturer since 1991. It manufactures panels for its own devices and also works as a supplier for several other Big Tech firms, such as Apple. Its displays are used in virtually all products, ranging from foldable smartphones to televisions and tablets.

Despite the company’s successful business, a recent report from The Korea Times suggests Apple is exiting the LCD production business for good. One of the biggest reasons cited for the decision is the increased competition from Chinese and Taiwanese display manufacturers in the recent past.

Samsung wanted to shut its LCD production late in 2020 and its move was on the cards for a while now. Samsung probably kept its LCD manufacturing facilities operational during the pandemic due to the sudden and unprecedented spike in demand. However, LCD technology has been eclipsed by OLED and QD-OLED technologies on most mainstream devices in the last few years. This is another reason why Samsung will probably shutter the business later this year.

Moreover, research firm Display Supply Chain Consultants (DSCC) believes the average price index of LCD panels measured as 100 in January 2014 will drop down to just 36.6 in September 2022. The figure is indicative of the demand for LCD panels and it plummeted to a record low of 41.5 in April this year. The April figure is a whopping 58 percent lower than the record-high index value of 87 in June 2021 when the pandemic was raging. This reduction in demand and price could also be detrimental to the company’s plans to soldier on producing LCDs.

The report says that in the future, Samsung will remain focused on manufacturing OLED panels and more advanced quantum dot OLED displays. LCD division staffers will likely be transferred to the QD-OLED division. Meanwhile, Samsung Display did not respond to the Korea Times’ request for comment.

According to industry insiders, Samsung has taken the decision to close down its last LCD production lines, coming into effect six months sooner than expected. According to industry insiders talking to the Korea Times, the June closure has been hastened due to the precipitous fall of LCD pricing driven by competitors based in China and Taiwan. As the news comes via unnamed "industry insiders", take the news with a healthy amount of salt until an official statement is made.

The apparent sudden change of heart by Samsung needs little supplementary explanation if you cast your eyes over the chart above. The chart, courtesy of Display Supply Chain Consultants (DSCC), shows the TV panel price index plotted against year on year change from January 2015 to today. The steepness of the decline seen from late 2021 is enough to give an analyst vertigo. It may show some signs of bottoming out now, but please note that we are in negative territory, approaching -60% pricing YoY.

Samsung Display is an important player in the business of making flat panel displays. The South Korea-based firm makes some of the best screens for devices spanning tiny wearables to full wall-sized modular TVs. Some of its displays go into PC monitors that are own branded, and others will be used by partners like Asus and Alienware.

It is expected that employees who were part of the LCD business operations will be reallocated to Samsung Display"s quantum dot (QD) and organic light-emitting diode (OLED) screen production. Hopefully the removal of the LCD lines, and rebalancing into QD and OLED, will bring economies of scale to Samsung"s operations and help make these vibrant modern screen technologies more accessible.

TCL was the first to introduce LCD TVs with a miniLED backlight in 2019. CSoT’s acquisition of LCD patents from Samsung Display signifies a shift of power in the global TV market, putting TCL at the forefront of LCD TV development.