Samsung Display is the leading supplier of mobile OLED panels in the world. Samsung Electronics sources the panels it needs for smartphones from its sister company. However, recent reports have suggested that the company could start buying OLED panels from Chinese companies as well.
A new report highlights the possibility of another major Chinese display supplier joining Samsung’s OLED supply chain. That might result in more Samsung smartphones using Chinese OLED panels.
More Samsung phones could use Chinese OLED panels
Samsung’s decision to use Chinese OLED panels is linked to its desire of increasing competitiveness in the entry-level smartphone segment. The Chinese OLED panels will cost less than those from Samsung Display.
This will enable the company to bring OLED panels to more devices while remaining competitive on price. The upcoming Galaxy M phones might be one of the first to utilize OLED panels from Chinese display manufacturer BOE.
A new report out of China claims that TCL will now be supplying OLED panels to Samsung Electronics as well. Both companies already have a close relationship. Samsung sold its LCD production line in Suzhou to TCL last year and also acquired a stake in the company. TCL already meets over 15% of Samsung’s LCD panel requirements for smart TVs.
This relationship is now expected to deepen further with Samsung sourcing OLED panels for smartphones from TCL. It’s unclear which devices these panels might be used for. Could Samsung switch some of its mid-range devices to Chinese panels as well?
That could remain a possibility. However, the company is unlikely to do that for its high-end smartphones.