Samsung reportedly starts $9 billion expansion of OLED production lines

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Samsung Display is one of the leading suppliers of OLED displays in the market but it can’t rest on its laurels. The company has to work hard to ensure that it maintains and even grows its lead. According to a new report out of South Korea, the company has started its planned expansion of OLED production lines and it will invest $8.90 billion in this endeavor in 2017 alone.

The company has reportedly signed deals with several equipment manufacturers to replace its existing production lines for LCD displays with those for OLED production. One of the new lines is said to start production of 30,000 units of the sixth-generation OLED panels per month from the fourth quarter of this year.

Samsung is also expected to spend a significant sum of money to expand its A3 flexible OLED production plant to increase the current capacity of 30,000-45,000 units to 120,000 units by the end of this year.

With its OLED displays accounting for 95 percent of the market and smartphone demand rising, it makes sense why Samsung Display would embark on an ambitious expansion for its OLED production lines.

The company is also expected to be the sole supplier of panels for Apple’s first OLED iPhone which means that a demand-supply gap is not something that Samsung Display can afford right now.

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