According to the Korean media The Elec, Jiang Changzhen, who was sent to Semes as the company's representative by Samsung Electronics Semiconductor Division, will be reorganized in three months and will reduce the LCD equipment business. Semes had previously contacted another Korean equipment company for the sale of LCD equipment, and was currently worried about the next move. Although Semes will reduce the LCD device business, it will continue to operate the OLED device business in terms of display devices.
The key to Semes' decision to adjust the LCD device business is the Samsung display. In recent years, Samsung Display has continued to invest in expanding OLED production capacity, and I am afraid that there will be no new investment in LCD in the future. In 2017, Semes tried to sell LCD equipment to Chinese panel companies, but it is difficult to judge the LCD equipment business.
The Korean industry said that Semes is a subsidiary of Samsung Electronics, and it is not easy to sell its products to other external panel companies other than Samsung's monitors; the LCD equipment business, which has maintained a sharp decline in profitability, is not in line with the business direction.
In 2017, Semes' revenue exceeded 2 trillion won (about 1.77 billion US dollars), and in 2018 it fell between 1.8 trillion and 1.9 trillion won. The display equipment business revenue will continue to grow until 2017, and it will decrease sharply in 2018. The Korean industry speculates that Semes' display equipment business revenue will be between 150 billion and 199.9 billion won in 2018 and 405.2 billion won in 2017.
Semes is unwilling to confirm the rumors that it will reduce the scale of LCD equipment business. It only said that it is seeking a career breakthrough, and also considers the production of semiconductor back-end process equipment with low profitability and low order quantity. But the TSV-Bonder machine will maintain production.