According to sources, LG Display has decided to launch an OLED display in the new manufacturing plant P10 in Paju, and abandon the established goal of producing large-size liquid crystal displays.
Under the global LCD supply bottleneck LGD bets OLED
LG Display initially planned to produce 10.5 generation LCDs at the new plant, but then turned the production line into an OLED production line. LGD made the above decision due to the rapid growth of China's display company and the negative impact of the global LCD market on the competitiveness of Korean companies, which led to the global LCD supply bottleneck. As a result of recent planned changes, the installation of display manufacturing equipment has been postponed.
An official from LGD Partner said: "We have received orders to provide relevant production facilities to LGD in the third quarter of this year, but LGD recently delayed orders to the second quarter of next year."
The delay in the investment in P10 is partly due to the fact that the display giant has not yet decided whether to adopt inkjet printing technology. This technology enables more uniform and precise deposition of organic materials on glass sheets than conventional evaporation methods. The inkjet printing process is also very cost-effective. Samsung, the world's largest mobile OLED manufacturer, and Chinese companies including BOE and Huaxing are also actively developing development projects. Despite the high efficiency and high yield, inkjet printing technology is still considered to be immature.
An official at LGD said: "The investment in P10 has indeed been postponed, but the company will soon decide on this and what manufacturing technology will be used."
Due to seasonal factors and the LCD market slowdown, LGD's operating loss in the first quarter reached 98.3 billion won ($89 million); and due to weak market demand, it is expected that losses will increase during the April-June period.