What is the detonation of the OLED TV market?

The application of OLED (Organic Light Emitting Diode) display technology in the consumer electronics industry is getting faster and faster. In the small and medium size display field, some high-end models of Samsung, Huawei, OPPO, vivo, Xiaomi and other mobile phone companies have adopted OLED screens; in the large-size display field, Skyworth, LG, Changhong, Konka, Philips and other color TV companies have launched OLED TV.

Of course, the high-speed popularity of OLED display technology is closely related to the strong capital driving force. South Korea's Samsung and LGD have invested heavily in the OLED panel industry, occupying a leading position in the world. The two Chinese panel companies, BOE and Huaxing Optoelectronics, which are intended to be latecomers, have invested hundreds of billions of yuan in the OLED panel industry in recent years. This move has enabled the OLED panel industry to accelerate the pace of localized supply. With the supply of abundant OLED panels, more color TV companies will enter the OLED TV market.

Huaxing Optoelectronics and BOE have invested more than 100 billion yuan in the OLED industry

Huaxing Optoelectronics Shenzhen 11th generation line and Wuhan 6th generation line all supply OLED panels. On November 30, 2016, the 11th generation TFT-LCD and AMOLED new display device production line construction project (referred to as “G11 Project”) invested and built by Huaxing Optoelectronics officially announced the start of construction. The G11 project is located in Hung Hom Community, Guangming New District, Shenzhen, with a total investment of 53.8 billion yuan, a design capacity of 140K, and an area of ​​1.03 million square meters. It is planned to be put into production in early 2019. The main products are 43-inch, 65-inch, 75-inch LCD screens, OLED. Display, large public display, etc. The focus of the product is on the three major technical fields of ultra high definition, large size and OLED represented by 8K. In February 2016, Huaxing Optoelectronics Co., Ltd. was located in Wuhan, and the 6th generation LTPS (Oxide) LCD/AMOLED display panel production line with a total investment of 16 billion yuan began trial production.

BOE's panel factories in Hefei, Ordos, Chengdu, Mianyang and other places supply OLED panels.

On November 16, 2016, Skyworth, the leading brand of China's OLED TV, held a new product launch conference in Shenzhen with the theme of “Rising China Power”. Together with BOE and Huawei Hisilicon, it released the first China-developed OLED TV. The new product is adopted. Large size OLED panel from BOE. It is reported that this 55-inch OLED TV independently developed by China is based on the OLED TV panel produced by BOE after its technical transformation of the 8.5th generation LCD panel production line in Hefei.

On October 28, 2016, BOE and the Mianyang Municipal People's Government of Sichuan Province signed the “Minyang 6th Generation AMOLED (Flexible) Production Line Project Investment Framework Agreement”. The total investment of the 6th generation AMOLED production line project was 46.5 billion yuan. In addition, the first phase of the 6th generation LTPS/AMOLED production line of Chengdu BOE has officially started construction in the West Park of Chengdu High-tech Zone in May 2015, and is scheduled to start production in 2017. On February 29, 2016, the signing ceremony for the second phase of the 6th generation LTPS/AMOLED production line of BOE was held in Chengdu High-tech Zone. BOE increased the second phase investment of 24.5 billion yuan based on the investment of 22 billion yuan in the first phase. Chengdu 6th generation LTPS The total investment in the two phases of the /AMOLED production line reached 46.5 billion yuan. Previously, the project's total investment of 22 billion yuan, the BOE Ordos 5.5th generation AMOLED production line has been put into production.

The above investment projects of Huaxing Optoelectronics and BOE's two panel companies have a total investment of more than 100 billion yuan. Such a large investment proves the vitality of the OLED display industry, and the capital market is eager for it.

Localization of China's OLED panel industry can detonate the OLED TV market

Unlike passive-lit LCD TVs, OLED organic TVs do not require a backlight and each pixel can self-illuminate independently. Based on this, OLED TVs can present the purest black, natural colors. In addition, OLED TVs bring infinite contrast with black control, making it the most suitable display for popular technology - HDR (High Dynamic Range Image). Compared with liquid crystal display technology, OLED display technology can also minimize the damage of blue light to the eyes. Today, the world's first AR smart TV and Skyworth OLED organic TV new S9D, as well as Changhong, Konka, LG and other brands of OLED TV new products are favored by high-end consumers in the market.

Previously, South Korea's LGDisplay (LGD) was the only manufacturer of OLED TV panels in the world. Some color TV companies were hesitant about the OLED TV market because OLED TV panel resources were completely controlled by foreign brands.

However, with the launch of large-size OLED panels in the 8.5-generation line of BOE Hefei, the stalemate in the monopoly of OLED TV panel supply by foreign companies was broken for the first time.

On November 16, 2016, the first self-developed OLED TV released by Skyworth, the color TV enterprise, was purchased from BOE's technical transformation of its 8.5th generation LCD panel production line in Hefei. The chip is produced by Huawei HiSilicon, and the Skyworth brand OLED TV is scheduled to be launched in volume in 2017. Its advent has proved to the world that China's TV industry has completely bid farewell to the era of "lack of core and less screen". China's OLED industry with independent research and development and production capacity will usher in a new pattern of OLED TV's comprehensive and rapid popularization, and fully demonstrate the color TV industry. From "Made in China" to "Created in China."

According to a senior executive of BOE, the large-size OLED panel produced by the 8.5-generation line of BOE Hefei is still in the stage of “small-volume listing”. At present, BOE only promotes jointly with Skyworth. Next, with the release of capacity, BOE will push OLED TVs with more complete partners.

The technical maturity of BOE's new 55-inch OLED TV panel is not necessarily comparable to LGD. However, the story of "the latecomers are on the top" is always on the display industry. Since Sony and Matsushita of Japan were defeated by South Korea's Samsung and LG in the LCD panel display industry, who dared to assert that China's BOE and Huaxing Optoelectronics could not be made in the OLED TV panel industry in the future?

Domestic color TV brands naturally do not want to be completely controlled by foreign-funded enterprises in the upstream OLED TV panel supply. Objectively, they also hope that China's domestic panel companies such as BOE and Huaxing Optoelectronics will launch OLED TV panels. With the acceleration of the localization of China's OLED panel industry, the OLED TV market will be fully detonated.

[This article is quoted from the Sina blog of Liang Zhenpeng's author]

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