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Samsung SDI First Mass-Produces Innovative Displayer of AM OLED in the World

Samsung SDI First Mass-Produces Innovative Displayer of AM OLED in the World

Posted October. 11, 2007 03:47,   


Samsung SDI announced yesterday that its Cheonan plant would churn out 1.5 million units of Active Matrix Organic Light Emitting Diodes (AM OLEDs) every month. It plans to increase monthly production to 3 million units by next year.

Due the fledging nature of the market, no other company has ever manufactured the products on such a big scale. Currently, LG Electronics produces 100,000 units every month.

An AM OLED is only 1/3 of an LCD product in terms of thickness and consumes over 60% less electricity. Furthermore, it displays images in excellent resolution. The relevant technology and the astronomical investment in the technology have hindered mass production until now. Samsung SDI Display CEO Kim Jae-uk told reporters yesterday at the Cheonan plant, “We invested almost $500 billion since late 2005 to build the assembly lines at this complex. We began to produce 2-inch AM OLED units on the 730×920 mm glass plate since September this year.”

Kim added, “The 2-inch products will be used for handsets. Next year, 3-7 inch units will be produced. Then we will manufacture 10-30 inch TV screens.”

The plan will overhaul Samsung SDI’s revenue structure. Currently, CRT products occupy 34% of its sales. But the company plans to downsize them to 14%, while increasing AM OLED sales to 20% by 2010.

Kim projected, “We have supplied our AM OLED products to several global handset manufactures, and they showed positive responses. As of this moment, we have received purchase orders covering 90% of the products to be manufactured next year. When things permit, we will increase the production by five times by 2009, or 7.5 million units per month.

LG Philips LCD and Sony first tapped on the AM OLED market. Now that Samsung opened the door for mass production, more heated competition is likely to follow.

Sony, for example, plans to launch 11-inch AM OLED-mounted TVs later this year.

Visiting Korea, Sony Vice President Morita Masao told Dong-A reporters that AM OLED products would replace other types of displays, including those used for aircraft and vehicles.

In the meantime, Samsung SDI President Kim said, “We have already developed a 17-inch AM OLED TV. We are ahead of Sony at least by one year in terms of technology.”

Likewise, LG Philips LCD CEO Gwon Yeong-su also showed high interest in the market and said that, upon transfer of the OLED project from LG Electronics, his company would actively take part in OLED production.