Samsung likely to suspend South Korean LCD plant citing oversupply
Category: #technology  By Pankaj Singh  Date: 2019-08-17
  • share
  • Twitter
  • Facebook
  • LinkedIn

Samsung likely to suspend South Korean LCD plant citing oversupply

Display technology has been an ever-intriguing domain, evolving spectacularly over the last decade. In the present scenario, OLED is being hailed as he next big thing in home entertainment owing to various advantages including vibrant displays with better image qualities, reduced power consumption, and faster response times over conventional LCD and LED displays.

This has resulted in falling demand for LCD and LED TVs, which were once considered the highest-selling products in the television and computing space. Many panel makers around the world are switching to producing OLED displays to keep up with the demand and competition.

Samsung Display, a unit of Samsung Electronics, has reportedly disclosed that it is considering shutting down one of its South Korea-based LCD production lines following an oversupply. The display maker currently runs two LCD production plants in South Korea and one in China.

Evidently, increasing competition from Chinese rivals, shifting focus towards more advanced OLED panels and decelerating demand for smartphones and televisions have resulted in weak prices of LCD panels for South Korean manufacturers.

Samsung Display has been regulating the facility operations and production output due to oversupply and falling profitability, and it is still considering suspending its production site, though a decision has not yet been finalized, the company mentioned in an official statement.

LG Display Co Ltd, the Samsung’s compatriot and rival, had recently rehabilitated one of its LCD production plants into an OLED production unit. Suh Dong-hee, Chief Financial Officer at LG Display, confirmed that the team is also considering various scenarios for its remaining LCD production site in South Korea.

WitsView, a part of research provider TrendForce, reported that prices for LG Display’s best-selling product, 50-inch TV LCDs, dropped nearly 7.5% during April-June compared to the same period last year.

LG Display had recently announced that its latest OLED production facility will be completed on August 29, 2019. The brand’s Guangzhou-based plant is expected to mass-produce 77-inch OLED panels starting next year.

Samsung Display might also take similar steps in the near future and seek converting its LCD manufacturing units into OLED plants to address the consistently changing market demand.

 

Source credit: https://in.reuters.com/article/samsung-lcd/samsung-display-considers-suspending-output-at-south-korean-lcd-plant-idINKCN1V601C

  • share
  • Twitter
  • Facebook
  • LinkedIn


About Author

Pankaj Singh    

Pankaj Singh

With a commendable experience of content creation under his belt, Pankaj Singh, a qualified Post Graduate in Management, boasts of having worked as a freelance writer and an insurance underwriter. Additionally, Pankaj has also enriched his qualification portfolio with...

Read More

More News By Pankaj Singh

Nokia offers AI as a service to help telcos with 5G network automation
Nokia offers AI as a service to help telcos with 5G network automation
By Pankaj Singh

With the proliferation of 5G, IoT, and connected devices, CSP operational teams need to efficiently manage an ever-growing complexity through virtualization, network slicing, new use-cases and service requirements. The need for AI and automation is g...

Mobile marketplace OfferUp secures $120M, agrees to buy rival Letgo
Mobile marketplace OfferUp secures $120M, agrees to buy rival Letgo
By Pankaj Singh

OfferUp – a Washington based leading online and mobile marketplace app has reportedly announced the raising of nearly US$120 million in a funding round led by OLX group and various others. According to the deal, OfferUp will purchase the classi...

QIAGEN deploys QIAstat-Dx Respiratory SARS-CoV-2 test kits in Europe
QIAGEN deploys QIAstat-Dx Respiratory SARS-CoV-2 test kits in Europe
By Pankaj Singh

Netherlands-based Qiagen, a leading provider of sample and assay technologies, has recently developed the first syndromic testing solution in the European Union for use in the coronavirus outbreak. As per recent reports, the company obtained CE mark...