Samsung plans to build large OLED production facility

Samsung is said to have plans to build a new factory for the production of flexible OLED panels. It must have a production capacity that is 30 percent higher than that of its current A3 factory in China.

According to ETNews, the new plant, tentatively designated A5 and to be built in South Korea, should be capable of producing 180,000 to 270,000 panels per month. Samsung is said to have shared plans for the construction with manufacturers of the necessary equipment. If construction of the plant starts in the middle of this year, the factory should be able to start mass production of the panels by the end of 2019, the site estimates.

In addition, there would be a second, alternative plan to build two factories, each with a production capacity of 135,000 panels per month. According to ETNews, the plans are the result of an increasing demand for OLED panels. For example, the South Korean manufacturer is said to have started expanding its A3 factory in 2015 as a result of a large order from Apple. In April there were rumors that Apple ordered 70 million OLED panels from Samsung for new iPhones.

Samsung would like to finalize the plans for the new factory next month. The decision would fit in with the strategy of being ahead of possible Chinese competitors in the production of flexible OLED panels. These are panels used for smartphones and tablets. Samsung does not make OLED panels for TVs. With Samsung’s technique with RGB LEDs, the three sub pixels do not wear out equally quickly, which over time results in a different color balance. The presence of white LEDs resolves this, but Samsung’s major competitor LG has the patent on the use of this technology.