According to the daily economic report of the Korean media, Samsung Display (South Korea's Yasan Tangshan Display City Second Park has begun to enter large-scale equipment, and the idle space next to the employee parking lot is being carried out on the ground. The rumor is that Samsung Display is Preparation for the construction of a new plant (A4).
In 2016, Samsung Electronics' smart phone Galaxy S7 Edge adopts flexible OLED panel, which has increased the related demand. The newly launched Galaxy S8 advertises infinite marginal visual images, which drives other mobile phone operators to follow up and let Samsung monitors receive Orders for flexible OLED panels are like coming to the fore.
Although Samsung Display signed a long-term supply contract with customers, the full capacity of the Samsung display could not be fully supplied, forcing Samsung Display to advance the large-scale investment.
It is understood that the current A3 factory will be filled with Apple's Apple 8 OLED orders until the end of 2017; the new factory is now under construction, just in time for the second half of the 2018 shipment season. Because Samsung Display has received 2018 demand for major customer appointments.
In 2016, Samsung Display invested in Apple's dedicated production line, achieving 105,000 lines per month for the 6th generation line, and OLED panels for 100 million smart phones in a four-month production schedule. To digest the number of apples ordered, the production capacity must be increased to 165,000 pieces per month in 2018, which is equivalent to 75% of the iPhone series.
Therefore, the outside world believes that Samsung Display will invest 65,000 pieces of machine equipment with a monthly capacity of 2017. The rest will be flexibly adjusted according to market changes. It is highly probable that additional investment will be 40,000 to 70,000 pieces per month before the end of 2018.
In addition, Samsung Electronics will see 100 million pieces of demand for smart phone OLED panels in 2017, and will also place orders for Samsung monitors.
In the first quarter of 2017, Samsung Display will convert the L7-1 production line for LCD panels into an OLED production line, which will be launched after the third season. It is planned to change the L7-2 production line to produce OLEDs, but because of Sharp. (Sharp) suddenly stopped supplying Samsung electronic LCD panels, which suspended the L7-2 production line reconstruction plan.
After the completion of the Samsung A4 factory in the future, the annual production capacity will supply up to 800 million mobile phone flexible OLEDs, which will spare no effort to meet the needs of the mainland smart phone industry.
The OLED panel is a high-priced project among smart phone components. The price is about 75~80 US dollars, and the industry has more than 20% profitable space. Samsung has a market share of 95% in this field.
The flexible OLED has the advantage of being flexible, and it is suitable for various designs of the body. In 2016, the ratio of OLED panels installed in global smart phones increased by 50% compared with 2015, and the mounting rate of LCD panels was relatively reduced.
In addition to Samsung monitors, panel makers such as LG Display, BOE, and Japan Display (JDI) are also actively investing in small and medium-sized OLEDs in the near future, but the industry believes that it is not easy for these players to catch up with Samsung monitors.
The industry said that Samsung's large-scale investment this time is expected to accelerate the advent of the era of folding smart phones, when there will be a display screen for the current three times the size of smart phones.
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