Samsung Display is investing a huge amount of money in developing a new production line for OLED displays in a bid to maintain its dominance in the market amid a relentless push from Chinese display manufacturers.
The company has confirmed that work has begun on its 8.6-generation OLED manufacturing line, which would be the company's most advanced OLED display production line yet. Major equipment will be installed this year ahead of the full-scale mass production that's expected to begin by 2026.
Samsung Display has started working on its 8.6-gen OLED line
It was revealed last year that Samsung would invest over $3 billion to develop a new OLED production line for 8.6-generation OLED substrates that measure 2,620 x 2,200mm each. These substrates would later be converted in OLED panels of different sizes to be used in smartphones, tablets, and laptops.
Samsung is converting its existing L8 line in Asan into the new A6 line for 8.6-generation OLED production. The company expects to begin mass production by 2026, just in time to provide the panels for Apple's first OLED iPad. The production capacity is said to be at 10 million panels per year.
Samsung Display isn't the only company that's gunning for OLED orders from Apple. China's BOE is investing $9 billion in a new 8.6-generation OLED manufacturing plant, which would put it right up against Samsung Display in the race to win Apple's orders for its OLED MacBooks and iPads.
Considerable growth is still projected in the global OLED market so even with the increased competition from China, that's likely going to be enough demand to maintain steady prices, despite the Chinese manufacturers possibly deploying their familiar strategy to sacrificing margins in favor of market share.
