LG Display’s talks with Samsung to provide LCD panels is on a standstill since nine months

Samsung used to source large-sized LCD panels for its TVs from Sharp. However, the company decided to stop the supply and Samsung has been in trouble since. The company was to source around 1 million panels from LG Display, Innolux, and BOD. LG LG Display started negotiating with Samsung for supplying LCD panels in January, but a deal hasn’t been struck yet between the companies.

LG Display and Samsung were supposed to finalize the deal in the second quarter of the year, but the companies are yet to arrive at a solution. If this deal goes through, LG Display will supply 40-inch to 60-inch LCD panels for Samsung’s TVs. These LCD panels are produced by LG in P7, P8, and P9 facilities that are located in Paju. However, Samsung and LG have different opinions on the panel properties as well as supply numbers.

All the 50-inch and above 4K LCD panels produced by LG that have M+ panels (4K UHD with RGBW pixels), and Samsung is of an opinion that the M+ panels fall short of the resolution. This has put the companies in a technical argument. Moreover, LG Display is also facing problems in adjusting production and supplies of existing customers due to a supply-demand imbalance.

LG Display is seeking a three-year long deal with Samsung for supplying large-sized LCD panels, so it will take some time before the two reach the halfway point and strike a deal. Samsung is focussing on QLED technology for its high-end televisions, while LG is focussing on OLED technology right now in the consumer market.