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Wednesday, October 18, 2017
Chinese BOE and CSOT to Invest in Japanese JOLED, Adding Pressure to South Korean Rivals

JOLED, which is in charge of OLED panel development and manufacturing in Japan Display Inc., is making investments into the development of OLEDs with Chinese companies such as BOE and CSOT to participate in the scheme, according to a report.

The Japan-based Nihon Keizai Shimbun reported that JOLED is about to manufacture OLED panels and Chinese companies such as BOE and CSOT are expected to make an investment in the process.

"Japan Display is aiming to rebuild itself with OLED," the newspaper reported, adding, "The company is planning to invest 200 billion yen in the manufacturing of OLED panels for use in smartphones and multiple Chinese companies have expressed their will to take part in it, with Japan Display set to choose its partners in the spring of 2018."

Mass production of OLEDs is likely to start in the latter half of next year or later. Earlier, JOLED aimed at reducing the OLED cost by approximately 40% compared to the offerings of Samsung and LG.

Obviously, South Korean OLED panel manufacturers are many years ahead of their Chinese counterparts. However, the gap can be narrowed quickly once China and Japan cooperate, with the support of the Chinese government.

Chinese OLED panel manufacturers are currently investing on mass production of OLEDs. BOE recently began making 5.5-inch flexible OLED panels and is planning to start the manufacturing of 5.99-inch panels by next month.

Samsung Display currently is enjoying a 95% market share in the small OLED panel market, while LG Display is the sole OLED TV panel manufacturer in the world.

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