Since OLED TV officially entered the market in 2013, the terminal market has been tepid. Although OLED screens have been widely used in mobile phones in recent years, the sales of OLED smart TVs have been very sluggish. Although the activity and popularity have been very high, terminal sales have always been a “mystery.”
In fact, judging from the development of OLED TVs in recent years, there are two main factors restricting the development of OLED TVs:
One is the insufficient supply of production capacity.
As the world’s only supplier of large-size OLED panels, LGD has annual production capacity in short supply. In order to meet the growing demand for OLED panels, although LGD is also actively involved in the layout of the OLED panel production line, in addition to South Korea’s local OLED panel production base, it has built a 8.5-generation line in Guangzhou and officially mass-produced in July last year. However, the supply is still in short supply.
The second is the price.
Among the bulk order prices of OLED panels in Q4 2020, the price of 65-inch products will fall at around US$820 per piece, and the price of 55-inch panels will be around US$505 per piece. Compared with traditional liquid crystals, quantum dots, and laser TVs, the price of OLED panels has been at a high level. Therefore, the price of OLED TV terminals has also been at a high level.
However, this situation will change a lot in 2021. Because LGD not only introduced more and larger panel supply, but also the price has been loosened. Under the situation of increasing supply and falling prices, OLED TVs are expected to usher in rapid growth in 2021, which may be the most since the emergence of OLED TVs. Rapid growth.
Increased capacity supply
First, LGD introduced more sizes of OLED panels and increased the supply of OLED panels. At this year’s CES show, LGD officially launched more sizes of OLED panels, including 48, 55, 65, 77, 83-inch 4K OLED and 77, 88-inch 8K OLED. In addition, LGD will add 83 and 42-inch OLED TV panels this year. In the future, it plans to add a 20 to 30-inch medium-sized product line to seize the game, travel and mobile, and personal display markets.
In addition, in terms of production capacity, with the formal mass production of the 8.5-generation OLED panel production line invested by LGD in Guangzhou, China, it is expected that the monthly capacity of normal full production will be 60,000 glass substrates, and the maximum production capacity will reach 90,000. 55-77-inch OLED panels for TVs, together with the monthly production capacity of 70,000 glass substrates at the Paju plant in South Korea, the total monthly production capacity is 130,000.
Panel price reduction
According to a report from Nihon Keizai Shimbun, the price of bulk orders for OLED panels in Q4 of 2020 has dropped by 3 to 4% compared to Q3 of the same year and has declined for three consecutive quarters. Among the bulk order prices of OLED panels in Q4 2020, 65-inch products are quoted at around US$820 per piece, which is about US$30 (4%) cheaper than the previous quarter. The price of the 55-inch panel with the largest shipment size on the market also fell by about US$15 (3%) from the previous quarter, and the price per piece was about US$505.
With the gradual decline in the price of OLED panels, the OLED TV market is about to usher in an explosive “spring.” Because starting from 2020, as Xiaomi, Huawei and other brands have launched OLED TVs to lay out the market, these Internet brands have their own traffic, which brings more potential for the development of OLED TVs.
More and more color TV brands are launching OLED TVs. Coupled with increasing supply and declining prices of OLED panels, the OLED TV market in 2021 will usher in explosive growth, which is expected to hit the highest level in recent years. LGD expects shipments of OLED TV panels to reach 7 million to 8 million pieces. (People’s Home Power Grid)