'Test' full-screen mobile phone panel | Q1 penetration rate of more than 40%;

1. The penetration rate of Q1, a full-screen mobile phone panel, is more than 40%; 2.WSJ: The iPhone's new machine production is biased towards LCD, and will continue to be used next year; 3. The price of car-mounted panel diving will face challenges; 4. The localization of land-based ICs / panel chain Double attacked by the new technology; 5. Balanced overcapacity of new technology and surplus demand for crystalline Q3 is expected to return to temperature; 6. Innolux shareholders will be on stage to announce the new Dongzao will come out? 7. The share of vehicle panel makers in recent years has been a big blow;

1. Full screen mobile phone panel Q1 penetration rate of more than 40%;

With micro-messaging, comprehensive screens have accelerated growth this year, and now full-screen has become the standard for new handsets in mainland China mobile phone brands. In addition, special-shaped cuts are rapidly gaining popularity. Reflected in the shipment structure of panel makers, according to Sigmaintell In the survey, global smartphone panel shipments reached nearly 420 million units in the first quarter of this year, of which total panel shipments reached 180 million units, and the penetration rate exceeded 40%, and then the penetration rate will increase.

From the perspective of panel makers, panel makers with better customer and technical advantages have a more positive attitude towards full screen and profile cutting, and the overall shipping performance is also better. Samsung Display is the world's leading AMOLED panel supplier. The use of AMOLED full screens by Samsung Galaxy S and Note series and Apple iPhone X mobile phones drove Samsung to become the leading full-screen panel shipment of smart phones. Samsung shipped more than 50 million full-screen panels in the first quarter, and its market share exceeded. One-fourth, up to 28%.

Full-screen and profile cutting technologies have begun to take an increasingly important position in LCD products. Continental-based panel makers Tian Ma and BOE

Advantages of LCD products, as well as a good relationship with mainland Chinese mobile phone brands, the number of full-screen panel shipments in the first quarter was close to 35 million and 20 million units, with market share of 19% and 10%, respectively. The large-scale listing of mobile phones and the close cooperation between Tianma and the four major mobile phone brands in mainland China will push Tianma's first-quarter full-screen panel shipments to the second largest in the world, the first in the LCD field.

AUO ranked third in the overall panel shipment of global smartphones in the first quarter, taking up 14% of the market share and shipping over 25 million units. AUO has good competition in product quality and price. Force, with mainland handset manufacturers Huawei, Oppo and Vivo also have good relations of cooperation.

Other panel makers, especially overseas mobile phone brand customers or a-Si LCD product panel makers, are highly influenced by individual customers and product planning. Shenzhen Chaoyue, Huaying, JDI, Innolux, Caijing's full screen The shipment of mobile phone panels has also grown steadily. In particular, the demand for mobile phone panels in the second quarter has rebounded, and Huaying’s shipments have picked up. In the first half of the year, the proportion of full-screen shipments exceeded 60%, and the total screen shipments of Caijing were nearly 80%.

2.WSJ: iPhone's new machine production is biased towards LCD, and will continue to be used next year;

Korean media reported at the end of May that Apple (Apple) plans to use OLED panels on its iPhone next year (2019). The news came out and dragged down Apple Display Inc (JDI), a major supplier of LCD panels. The stock price plunged to record lows. However, the well-known financial media Wall Street Journal (WSJ) hit the aforementioned Korean media report, saying that Apple attaches importance to prices, so it is expected that Apple will focus on the LCD version of this year’s (2018) second-generation iPhone production plan. Models, and it is expected that the new machines that will be sold next year will continue to use LCDs.

It is expected that there will be 3 models of the next-generation iPhone that will be sold this year. In addition to the upgraded version of the current iPhone X (5.8-inch), the iPhone X Plus with a 6.5-inch OLED panel and a new 6.1-inch LCD will be introduced.

The Wall Street Journal Japanese edition reported on the 15th that in the new iPhone production plan that is expected to be sold this fall, Apple will focus on the cheaper version of the LCD version, mainly because consumers are very sensitive to the price of smart phones. Apple's original planned production plan was The LCD version has the same number of models as the OLED version, but now Apple plans to produce more LCD models.

The report pointed out that according to sources in the supply chain, Apple estimates that in the new iPhone launched this fall, the LCD version will account for more than half of sales, and it plans to continue to adopt LCD on the new iPhone that will be sold next year.

According to the Castrol XQ Global Winner System Offer, JDI tumbled 2.68% to close at 145 yen on the 18th. It once soared 6.7% to 159 yen, hitting a record high since April 16.

Recently, due to the poor sales of iPhone X with OLED panel, Apple has been conservatively viewing the sales performance of new iPhones expected to be sold this year. Therefore, orders for new machine parts will be reduced by 20%. It is reported that the iPhone's new machine OLED panel is exclusive to Samsung. Provided, the LCD panel will be provided by Japan JDI and South Korea's LG Display (LGD), and Hon Hai (2317)'s sharp investment is not expected to be on the supply list.

JDI pointed out on May 15 that the company's new LCD panel capable of realizing 4-edge ultra-narrow frames will receive strong demand from customers in the second half of the year (October 2018 - March March 2019). The annual revenue (April 2018 - March March 2019) will show rapid growth. It is estimated that it will increase by 10-20% annually, and the profit-earning ratio is estimated to be 2-3%.

In addition, Korean media had previously claimed that the 6.1-inch LCD version of the new machine uses a 'bangs' design like the iPhone X, but due to the poor LCD panel quality of JDI and other manufacturers, it may be delayed until November. However, the report He was hit by the "Most Top Apple Analyst."

Japanese website CoRRiENTE.top, taisy0 quoted MacRumors on June 4th, and Tian Feng International Securities analyst Guo Mingyi issued a report that Apple will launch three new iPhones this fall. All three new aircraft will carry facial recognition technology. 'Face ID' is a frameless design, and all three new models will be released in September. The price will be lower than last year's model (iPhone 8 Series and iPhone X) and the price will be more Invasive.

Guo Mingyi estimated that the new 6.1-inch LCD version of the iPhone will sell for $600-700, which will be lower than the current iPhone 8; the iPhone X2 will have an estimated price of $800-900, which is cheaper than the iPhone X (up from $999); iPhone X Plus is priced at $900-1,000 USD. MoneyDJ

3. The price of vehicle panel diving is facing challenges;

With the automotive electronics, the number of panels used in each vehicle has also risen, driving the demand for automotive panels to maintain double-digit growth every year. The output value has even surpassed that of the Mobile PC, making it the second-largest application in the mid- and small-size panel market. However, the mainland, Korean panel makers have joined the market for car panel panels, and the market competition has become increasingly fierce. Panel makers pointed out that the price of on-board panels has dropped by as much as 20% to 30% this year, and the time for product introduction into depots has also shortened, and profits have been tested.

According to IHS Markit statistics, the total mobile phone panel shipments exceeded 20 billion units in 2018, which is the largest application market for small- and medium-size panels. The number of in-vehicle panel shipments is less than 200 million units a year, and shipments are less than 10 points for mobile phone panels. No.1, not comparable to the Mobile PC, but because of high quality requirements, high unit price, and its output value exceeds that of the Mobile PC, it has become the second largest application in the small and medium size panel market. It used to be regarded as the blue ocean market in the panel industry.

In recent years, the growth of consumer products such as TVs, monitors, laptops, and even mobile phones has been dulled. In-vehicle panels are a few applications that can maintain double-digit growth.

In addition to the growth of the market, the quality requirements for on-board panels are high, and the lead-in time is long. For panel makers, the unit price is higher and the profit is better. Once imported, the order shipment time may be as long as 7~ in line with the automotive product life cycle. 8 years.

However, in the past, the market for car panels dominated by panel makers in Japan and Taiwan had a stable market ecology after Korea and mainland panels joined the war. Especially in the first half of this year, the TV panel market was very sluggish, and the demand for IT panels and mobile phone panels was weak. More 5 generations, 5.5 generations, and even 6 generations of panel plant production began to produce on-board panels, resulting in a significant increase in the price of on-board panels. The panel maker revealed that since the beginning of the year, the car panel has been scored 20% to 30% in one go, allowing panel makers to profit. Faced with a great test.

The supply chain pointed out that the automotive industry is now becoming more and more electronic. The number of sensors and panels used in each vehicle is increasing. Vehicle electronics are gradually becoming platform-based and form standard specifications. As a result, the replaceability of parts on vehicles has increased. In the past, the lead-in period for on-board panels was two to three years, and now it is often less than a year before it can be certified for volume production. Moreover, the quality of the mainland panel factory also comes up, the price is low, and the depot and system plant are also willing to compare prices. The blue ocean of the panel turned red sea, and the era of high profits also passed. Business Times

4. Land IC localization / Taiwan Department of panel chain was double attack;

The panel driver IC is a mature process. It is not difficult to buy equipment and find talents to invest in production. Recently, BOE’s OEM prices have increased, and BOE took the lead in accelerating the pace of domestically driven ICs. Under the double attack, it is for Taiwan’s driver IC industry. The pressure is not small.

The drive IC adopts a relatively mature process, and most of them have been put in 8” plants. In recent years, mainland drive IC plants have also gradually introduced products that are more in line with market demand. Taiwanese industry analysts, mainland competitors, are still insufficient in terms of yield.

As far as industrial development trends are concerned, almost all major panel makers in the world will set up their own driver IC factories. Recently, the mainland officials reported to BOE that more than 50% of the ICs used ICs to use their products, and they issued 'The good rate is not good, First of all, the Taiwanese semiconductor industry predicts that this move will help the mainland drive IC industry to accelerate the improvement of the yield rate.

According to industry analysts, based on the historical experience of mobile phones, in the early years of the mainland, mobile phones started from white cards, but in the fourth quarter of 2017, mainland China had Huawei, Xiaomi, OPPO and other companies among the top five global brands; in addition, the automotive industry in mainland China is also From imitation to the establishment of its own brand and supply chain, therefore, the mainland needs to improve the yield of driver ICs, 'just a matter of time', and Taiwan's IC driver industry cannot escape the pressure of the rise of land plants.

In addition, another operating pressure of the Taiwan Drive IC Plant comes from the shortage of 8K wafer foundry capacity. In particular, the demand for the IoT and automotive electronics has risen, which has caused OEMs to squeeze out the LCD driver ICs. It is also worth considering.

5. New technology balances excess capacity Crystal Power Q3 demand is expected to return;

Jing Ding (2448) Chairman Li Bingjie pointed out in the shareholders’ report that after the expansion of production capacity by the mainland manufacturers in the fourth quarter of last year, new overcapacity will affect the balance of the LED market, and it is expected that demand will recover in the third quarter. Electricity will balance the impact of excess capacity with new technologies such as Mini LED mobile phones or laser applications.

Jingdian will hold a regular shareholders meeting this week, the market will focus on the division of the various businesses of Jingdian, and the impact of continuing new production capacity in mainland China.

In the report to shareholders, Jing Bing Chairman Li Bingjie pointed out that after the expansion of production capacity in the Chinese mainland in the fourth quarter of last year, new overcapacity issues affected the balance of the LED market. It is expected that demand will recover in the third quarter of this year. Will use new technologies in the market, such as Mini LED application of mobile products or laser applications, to balance the impact of excess capacity.

Li Bingjie also stated that as countries around the world attach great importance to energy conservation and environmental protection issues, and due to the improvement of luminous efficiency and the miniaturization of LEDs, the LED market still has potential development opportunities. For example, the demand for LED high-efficiency fluorescent tubes and filament-type LED bulbs is increasing year by year. With substantial growth, the penetration rate of LEDs in lighting and automotive applications continues to increase. LED plant lighting applications are increasingly being considered and IR (infrared) LEDs are in control, smart phone sensing, and Mini LED are used in various displays. Estimated crystal chip shipments this year to 562.9 billion.

As for the promotion of the VCSEL (Vertical Resonant Cavity Surface-Laser) foundry business, Li Bingjie pointed out that in addition to the significant growth in the sales volume of VCSEL epitaxial wafers that have been used for data transmission, Jingdian has started to apply it to this year. Tested VCSEL products.

Li Bingjie also said that since the second half of the year of the same year, crystal power has seen a slight improvement in the supply and demand conditions of the nitride LED. However, since the fourth quarter of last year, the capacity expanded by the industry in this year has gradually opened again, and the competition has turned increasingly fierce. Although the environment is getting worse, Jingdian still does not abandon the goal of turning losses into profits, and is fully committed to reducing operating costs and optimizing the product mix. As a result, the net consolidated operating income for the year 106 was approximately 1% lower than that in the year of 105, but the consolidated net profit for the year ended 2010 was 106. New Taiwanese currency of 2.31 billion yuan, consolidated net profit after tax of NT 1.69 billion yuan, not only turning a profit, but also significantly increasing profits, exceeding budget targets.

6. Innoluxe shareholders will be on stage.

Innolux (3481) The shareholders' meeting will be on the 20th and the board of directors will be held immediately after the shareholders meeting. The outsiders speculate that the new chairman Hong Jinyang will be elected. After the meeting, the old and new chairman Wang Zhichao, Hong Jinyang, and general manager Xiao Zhihong, etc. A senior executive will appear together to explain to the outside world the direction of future strategy.

Hon Hai Group announced last year that it will build a 10.5-generation factory in Guangzhou. Wang Zhichao is the person in charge of the Hon Hai K-Group and is leading the construction of a new plant within the group. Hon Hai Group Chairman Terry Goh intends to allow Wang Zhichao to unload the group's chairmanship and concentrate on planning new ones. Plant and panel business layout. For foreign investors, Hong Jinyang, who was the general manager of Taiwanese International, was planning to take over as chairman of Innolux.

According to the group's plan, after the regular meeting of shareholders on the 20th, the board of directors will be held immediately. Wang Zhichao will resign from the seat of Dong and will promote Hong Jinyang as the chairman. After the meeting, the old and new chairman Wang Zhichao, Hong Jinyang, and the general manager Xiao Zhihong, execute Deputy Chief Ding Jinglong, and the general manager of the business group Yang Hongwen, Yang Zhuxiang, Lin Timen, Guo Zhengxia and many others will all appear together.

The Innolux business report pointed out that small and medium-sized smartphones have become more diverse and grow in recent years due to the maturation of smart phone applications and touch technologies, as well as the continued research and development of next-generation technologies such as AMOLEDs or flexible panels. The fastest product category, look forward to this year, 18: 9, flexible and shaped cutting will become the trend of small and medium size panels.

In addition, In order to strengthen its competitive advantage and long-term outlook, Innolux actively invests in research and development of new technologies and new products, including flexible displays, IGZO, AMOLED, Mini LED, MicroLED, touch integration technology, wide color gamut display, and The development of large-size touch panels, etc., has achieved considerable results, which will help us stand out in the fiercely competitive industrial environment in the future.

In large-size TFT LCD products, LCD TVs continue to face larger sizes, save energy, and achieve high-quality 4K8K with narrow bezels. The main appeal of LCD screens is flexible, e-sports and narrow bezels, and notebook PCs face low power consumption. , IGZO, narrow borders and thin and light technology trends are the main trends, hope that consumers can upgrade existing product lines. Business Times

7. In-vehicle panel factory In recent years, the share of the wind has blown;

In the past, Japan’s largest car panel market, after Taiwan, South Korea, and even mainland China's panel makers joined the war, the market share has changed greatly in recent years. Taiwan’s panel makers surpassed Japan in 2016 to become the world’s largest vehicle panel. The supplier country, but the mainland Tianma, Xinli rushed to catch up, the market share in the past three years has soared three times.

In recent years, Taiwan’s panel makers have actively deployed the automotive application market, surpassing Japan in 2016, becoming the largest supplier of on-board panels, with a market share of nearly 40% in 2017, and still maintaining the market's leading position. However, last year South Korea’s mainland panel makers aggressively In the car panel market, the gap between the panel makers and manufacturers was narrowed. In 2017, shipments of JDI car panels in Japan grew by 8%, AUO also grew by 7%, and Innolux fell by 9%. However, LGD received the Dachang center console panel. Orders, shipments grew by 22% in 2017, and Tengma shipments grew by 43%.

Most of the center consoles are standard specifications, becoming the first product category for panel makers to cut into the car. In 2017, the sales of LGD center console panels grew by 24%, and the growth rate of Tianma grew by as much as 60%. In contrast, Japan has been cultivating the panel for a long time. , Taiwan's panel makers, because of the fierce competition in the center console panel, the decline in profits, most of the shipments declined in 2017, JDI shipments decreased by 6%, AUO slightly reduced by 1%, a decline of 14%.

According to IHS Markit, due to the high quality and trustworthiness of dashboard panels, Japan is still a major supplier. JDI has a large supply of 3.5吋 and 4.2吋 dashboard panels. In particular, more and more high-end vehicle models have been introduced into all-digital instruments. As a result, the shipments of the 10 inch and 12.3 inch instrument panels grew rapidly. The focus of the panel makers in Japan and Taiwan shifted to the dashboard panel in 2017. JDI shipments grew by 14%, and AUO's shipments doubled. Innolux's shipments grew. 32%. South Korea, the mainland panel plant also has great growth, LGD shipments increased by 17%, Tianma grew by 35%.

In 2018, the shipment of panel panels from various panel makers was very positive. However, apart from JDI's 29.91 million units, the shipments of other panel makers are quite close to each other. It can be seen that the competition in the vehicle panel market is fierce. IHS Markit's investigation It was pointed out that Innotec's shipments included the front and rear market, with a shipment target of 23 million pieces, ranking second in the market. Others such as AUO, LGD, Sharp, and Tianma, had shipment targets of 19 million in 2018 Film, Huaying Shipment Estimated about 14.5 million pieces. Business Times

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