Market updates - Page 29

According to reports from Korea, LG Display expects a decline of up to 10% in demand for OLED TV panels in Q2 2020, due to the CoronaVirus pandemic.

LGD's original plan was to ship over 6 million OLED TV panels in 2020 - which include the smaller 48" OLED TV panels launched at CES 2020. In its latest note, DSCC sees 4.5 million OLED TV panels being produced in 2020, while Omdia's forecast is for only 3.5 million TVs.

This article is an extract from The OLED Handbook, 2020 edition, and gives a short introduction to the current OLED TV market status. The latest edition of the OLED handbook was published in March 2020.

LG Display

The OLED TV market is completely dominated today by LG Display, the only company that produces OLED TVs commercially. In 2013 both Samsung and LGD commenced production of OLED TVs, but Samsung quickly halted its OLED TV program to focus on Quantum-Dots enhanced TVs. In 2019 Samsung announced it is re-entering the OLED TV market and is set to build a QD-OLED production fab (more on this below).

LG Display adopted Kodak’s WRGB OLED technology (now owned by LG’s own GOT) and this technology, combined with oxide-TFT (IGZO) backplanes, enabled the company to economically scale up its large-area panel production. LG Display is producing 48 to 88 OLED TV panels, and is supplying its panels to several TV makers, including LGE, Sony, Panasonic, Philips and more.

Omdia says that the global foldable OLED display market will grow from 700,000 units to 3.9 million in 2020 (a 5X increase) - and will continue its fast growth to reach 73.1 million in 2025.

Omdia says that the main challenge of the foldable OLED market is the reliability of the displays - mainly the cover, the touch sensor and the polarizer films. Display makers will need to adopt new technologies such as ultrathin glass covers (UTG), touch sensors on TFE and color filters on TFE

LG Display reported its financial results for Q1 2020. LGD's revenues were 4.7 trillion Won ($3.8 billion USD), decreased 26% from the previous quarter and 20% from Q1 2019. The company's net loss in the quarter was 199 billion Won ($161 million USD).

LGD's revenues and earnings were below analysts expectations - the company's business was hit by the Covid-19 pandemic which caused lower demand for smartphones and TV panels (which were also hit due to the postponing of major sporting events). LCD panel prices have also taken a hit.

DSCC says that the future will bring significant growth for foldable OLED displays - fueled by lower panel prices as production increases and yields improve, lower device prices and improved display reliability as devices improve.

DSCC sees meaningful improvements in devices starting in the second half of 2020. In 2020 around 5 million foldable devices (mostly smartphones) will ship, generating almost $1 billion in revenues. From 2020 to 2025, foldable display shipments will rise to 77 million units (a CAGR of 132%) and revenues will reach almost $8 billion (CAGR of 113%).

Omdia (IHS Markit) says that even though global demand for smartphones in 2020 will drop 13% compared to 2019 due to the Coronavirus pandemic, the demand for smartphone AMOLED displays will increase by 9%. AMOLED penetration will rise sharply in 2020.

In 2020 513 million smartphone AMOLED panels will ship, up from 471 million in 2019. The growth will be entirely driven by flexible AMOLEDs which will see a 50% surge in production in 2020. Rigid OLED shipments will decline 12% in 2020.

Today we published new versions of our market reports - that cover the flexible, VR/AR, microdisplays, automotive, PMOLED and graphene OLED markets. OLED-Info provides comprehensive niche OLED market reports, and our reports cover everything you need to know about the niche market, and can be useful if you want to understand how the OLED industry works and what this technology can provide for your own industry. The reports are now updated to April 2020.

The Flexible and Foldable OLED Market Report:

• Why flexible displays and lighting panels are so exciting
• What kind of flexible displays are currently on the market
• All about the foldable OLED market and industry
• What the future holds for flexible OLEDs
• How to acquire flexible OLEDs for your products

The report package provides a good introduction to the flexible and foldable OLED market - present and future. It details both flexible displays and lighting technologies. Read more here!

Market research company Omdia (previous IHS Markit) have revised down its global TV outlook - and say that it expects only 3.5 million OLED TV units to ship in 2020. Omdia's previous estimate was 4.5 million units, and this too was decreased from its original forecast in late 2019 of 5.5 million.

The OLED TV is still growing (unlike the entire TV market which will shrink in 2020), but due to the CotonaVirus outbreak, LGD's plans to expand production will be delayed.

We are happy to announce the eighth edition of The OLED Handbook, the most comprehensive resource on OLED technology, industry and market - now updated for 2020. The OLED industry grows and changes very fast, and the new edition include new details on the OLED mobile display market, Apple's OLED plans, new production fabs in China, foldable OLEDs, OLED TVs, the Coronavirus outbreak effects and more!

Reading this book, you'll learn all about:

• OLED technology and materials and production processes
• How OLEDs compare to LCD displays
• OLED TVs, flexible, foldable and transparent OLEDs
• The OLED lighting industry
• The future of OLED displays and the challenges ahead

The book also provides:

• A history of OLED development
• A guide to OLED investment
• A comprehensive list of OLED companies
• A list of existing and planned AMOLED fabs
• An introduction to quantum dots, micro-LEDs and e-paper displays

The OLED handbook has been read by hundreds of display engineers, business developers, researchers, equipment vendors, OLED material companies, private investors and others who wished to learn more about OLEDs today and in the future. I truly believe that it is the best introduction to OLED displays and lighting!

DSCC says that OLED area shipments will grow in 2020 to around 10.5 million square meters, up from 8 million square meters in 2019 - a growth of around 31%. In terms of revenues, the OLED market will grow 35% in 2020 to reach $37.6 billion. DSCC says that in 2020, 731 million OLEDs will be produced (up 27% from 2019).

Smartphone revenues will reach $30.7 billion in 2019 (up 35% from 2019) while TV revenues will grow 28% to $3.2 billion. Smartwatch revenues will increase 11% in 2020 to $2 billlion. The revenues for all other OLED applications are expected to increase by 69% in 2020 to $1.6 billion, mainly driven by laptop OLED displays.