The future of display technology remains a hot topic, and the debate is far from over. According to recent reports, South Korean manufacturers have shifted their focus toward OLEDs. While the OLED boom is still in its early stages, it doesn't necessarily mean the end of LCD technology. In fact, many believe that LCDs will continue to play a significant role, especially in China, where demand for LCD panels remains strong.
In the second half of the year, the global color TV market saw a slight slowdown, but there has been renewed interest recently. The moves by South Korean giants suggest they are accelerating the phase-out of smaller LCD panels and moving toward OLED screens. Industry analysts predict that LCD may eventually decline, but the reporter isn’t fully convinced. There’s still a long way to go before OLED can fully replace LCD in terms of cost, production scale, and performance.
A recent image titled “Korean Enterprises Switch to OLED, Domestic Manufacturers Welcome Opportunities†shows this shift. According to the reporter’s understanding, LG Display recently shut down its 5th generation P4 factory in Gumi City, following the closure of the 3.5th generation P2 factory. It's expected that the 4th generation P3 factory will also be closed by the end of the year, with a full transition to AMOLED production. LGD stated it has no plans to invest in LCD panels in the near future, and will only produce high-end products in small quantities if needed.
LGD expects to invest $18.08 billion in the OLED industry by 2020, including new plants in Paju (P10 and E6), Gumi (E5), and an OLED facility in Guangzhou, China.
Samsung Display, once a major player in LCDs, has closed its 7th generation panel factory and two 5th generation lines. Instead, it has built large-scale OLED facilities in South Korea. This year, it plans to spend $8.8 billion expanding production and converting some LCD lines into OLED ones.
These moves by South Korean giants are seen as key indicators of the industry’s direction. OLEDs offer advantages like self-luminous technology, true color, zero lag, infinite contrast, ultra-thin design, and flexible displays—features that seem to outperform traditional LCDs. However, the reporter believes it’s too soon to declare the end of LCDs.
First, LCDs still dominate the color TV market. Second, in terms of manufacturing process, production capacity, cost, and pricing, OLEDs haven’t yet caught up with LCDs. Third, display technology isn’t limited to just OLEDs or LCDs; other emerging technologies like laser displays are also gaining attention. Finally, in small-size applications, LCDs still have a strong demand.
The shift of Korean factories toward OLED isn’t the end of LCDs, but rather an opportunity for domestic manufacturers. For example, when Samsung closed its 7th generation factory last year, it caused a shortage of 40-inch TV panels. Similarly, LGD’s closures are likely to reshape the supply chain, benefiting companies like AUO, Innolux, Caijing, and Huaying, which continue to thrive in the small and medium-sized panel market.
BOE, for instance, focuses on 55-inch TV panels and small OLEDs, while others like AUO and Innolux maintain their presence in smaller sizes. As display technology evolves, change is inevitable, but it takes time. Even though LCDs became mainstream years ago, CRTs still exist in certain markets. So, even if OLEDs eventually take over, it won’t happen overnight. Other technologies like laser displays are also looking for their place. Moreover, LCDs themselves are being upgraded, extending their lifespan in the industry. The "life cycle" of LCDs is not yet over.
Shanghai Janetec Electric Co., Ltd. , https://www.janetecelectric.com