Samsung will stop production of LCD panels in June

Samsung may stop producing LCDs in June. Insiders report this to the Korea Times. The manufacturer actually wanted to stop LCD production in 2020, but eventually continued due to rising demand during the corona pandemic.

Falling prices would make Samsung less competitive against Chinese and Taiwanese manufacturers, who produce cheaper LCDs, sources say to the Korea Times. According to the sources, Samsung’s Display branch will therefore stop producing such panels from next month. Samsung Electronics, which uses LCDs for certain televisions, would in the future buy panels for this from manufacturers such as the Chinese BOE and the Taiwanese AUO. According to the sources, Samsung Display will mainly focus on QD screens and QD OLED panels; the LCD personnel are transferred to those divisions. Samsung has not yet responded to questions from the Korea Times.

Samsung Display wanted to stop producing LCDs at the end of 2020, the company previously confirmed. That production stop was later postponed because the prices of LCD panels rose due to the corona pandemic. Samsung’s LCD production stop is now due next month. That is six months earlier than expected, according to the Korea Times.

Samsung would have made that decision because LCD prices are falling again. Analyst firm DSCC expects that this decline will continue in the coming months. At the same time, Samsung has been taking steps to accelerate this abandonment of LCD production for some time. Last year, the company sold one of its large LCD factories to TCL.