Previously, it was reported that LG Display's project to build an OLED factory in Guangzhou will be approved by the Chinese side this month.
LG Guangzhou set up plant to further expand OLED screen production capacity
According to the home grid, according to the latest data from IHS, the size of the small and medium-sized display market in the first quarter of this year was slightly higher than US$11.4 billion, down 9.8% from US$12.7 billion in the same period of the previous year. Among them, LCD panel sales fell 22% year-on-year. % to 6.9 billion, but OLED sales rose 20.3% to $4.3 billion. According to industry sources, global demand for flexible displays has increased 2.6 times year-on-year to 2.9 billion.
With the demand for OLED screens for high-end consumer electronics such as high-end TVs, smart wearable devices, and smart phones, the market for OLED screens is also expanding. Some organizations predict that the global OLED panel market will reach approximately 413.6 in 2022. Billion dollars. IHS predicts that the global OLED market will reach 25.2 billion US dollars this year, an increase of 63% over the previous year.
Faced with the bright market prospects of OLED screens, Samsung, LG, BOE (BOE) and other screen manufacturers have invested capital to expand production capacity and seize market resources. Among them, Samsung's Samsung Display has seized market share on small-size OLED screens. 97.1%; LG Display has a monopoly on large-size OLED screens for TV products. LG Display has invested $7 billion to expand its OLED panel capacity, of which $4.5 billion will be invested in small-size products. The rest goes to large size products.
Recently, LG Display plans to build an 8.5-generation OLED factory in Guangzhou, China. Industry insiders told the home grid that the move seems to take into account China's huge TV market and Guangzhou's intensive industrial advantages. In response to the growing demand for OLEDs, LG Display plans The OLED sales share will increase from the current 10% to 40% in 2020. The project plans to complete the 8.5-generation OLED factory in Guangzhou in the second half of 2019.
Will LG welcome the new generation, will the group shift its focus?
The home network learned that the newly appointed group president was eager to join LG Electronics in 2006 to start business management. In 2007, he was admitted to the Stanford University Business School. He interrupted his studies and entered Silicon Valley startups for one year. After that, he worked at LG. The Group's New Jersey corporation is responsible for the HE business of the TV business. It is responsible for the H&A business headquarters of the white goods business. In 2014, it was promoted to the LG Group's business strategy group. Since then, it has served as the head of the LG Electronics B2B Business Division.
The industry believes that the success of the LG Group's internal industrial structure will face restructuring. Industry insiders predict that LG Group will continue to promote competitive industries such as home appliances, chemicals, and focus on cultivating biology, energy, and electrical equipment. Components and other emerging industries.
As one of the major chaebols in Korea, LG Group has LG Electronics, LGdisplay, GS Caltex, LG Life Health, etc., and its business areas cover chemical energy, electronics, communications and services. Among them, LG Electronics is the scale of LG Group. The largest subsidiary, known for producing home appliances, consumer electronics and mobile communications equipment. According to its 2017 third quarterly report, LG Electronics' operating profit increased by 82.2% in the third quarter.
In addition, LG Chem, a subsidiary of the LG Group, is also famous. With the rise of the new energy vehicle market, the power source of electric vehicles – power batteries are also welcoming opportunities for development. Among the global power battery companies, the most influential is Panasonic, Japan, LG Chem and Samsung SDI. Due to its excellent product quality, sufficient output and low price, LG Chem has long-term cooperation with many brands such as Hyundai, Renault and GM.
It is reported that after the fourth generation of leaders took office, in the field of automotive parts (electric equipment), the field of artificial intelligence robots will be the two major focuses of the future, while the mobile communication field with reduced competitiveness and the loss of LG Display also need the fourth. One of the problems solved by the generation.