Business conditions this year are worsening as iPhone sales slow and competition with Chinese panel suppliers intensifies. That’s why the world’s largest maker of liquid-crystal displays needs to shift investment to screens powered by organic light-emitting diodes (or OLEDs) as its rivals begin to make headway in the nascent market, Chief Executive Officer Han Sang Beom said.
Apple is allegedly in exclusive talks with Samsung Display to get OLED panels next year, and LG Display’s CEO admitted that the company he runs is a bit late into the game. “It’s undeniable that flexible OLEDs are now the mega-trend in the mobile segment, and we will have to embrace that”, he said during a company event.
However, he quickly points out that the OLED market is relatively small, due to technology costs. LG Display is also working on foldable displays, but the CEO outlined neither the size nor timing of future investments.
LG Display’s LCD segment slightly echoes Samsung Display’s, although the situation is much worse for Samsung. After reporting a 270 billion won operating loss, the latter is allegedly preparing an exit for its LCD business, as it has separated it from the OLED unit, according to a recent report from the Korea Times.