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Samsung is reported to be aiming to drop AMOLED pricing to within 10% of LCDs in 2016

China handset vendors are seen as the reason for this acceleration and are expected to be some of the biggest customers for Samsung in 2016

30 Nov 2015 | Editor

According to a news article on the Digitimes website there are reports from China that Samsung Display is aiming to bring down the price of small- to medium-size AMOLED displays within 10% of that for LCDs in 2016.

At present Samsung's prices for AMOLED are around 30% more expensive than an equivalent LCDs for small- to medium-size applications, although these are expected to drop to around 10% in 2016 following completion of Gen 5.5 facilities that will rapidly increase Samsung's overall capacity.

The report goes on to suggests that Samsung is anticipating demand for high-end displays to continuing growing during 2016 and consider AMOLED as its main panel technology to compete head-on with both LTPS and IGZO technology from other panel manufacturers as well as the rapidly increasing LCD production capacity from a range of other panel manufacturers.

More specifically, competition from:

  • Japan Display (JDI) is expected to be a key competitor in the LTPS and IGZO space throughout 2016
  • LG Display is rapidly expanding AMOLED production capacity and also LTPS production capacity
  • Taiwan manufacturers are actively seeking to expand production of high-end LCDs via the intriduction of Gen 6 facilities in 2016

China handset vendors are seen as the reason for this acceleration and are expected to be some of the biggest customers for Samsung in 2016 as Oppo, Huawei and other vendors release more smartphones equipped with AMOLED.

The report also noted that 5-inch a-Si panel pricing has dropped about 20% since the beginning of 2015, however this is expected to soften throughout December due to vendors in China releasing new smartphones into 2016 prior to meet the demands during the Lunar New Year holiday season in February 2016.

www.digitimes.com    www.lgdisplay.com    www.samsung.com    www.j-display.com    www.huawei.com   

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