According to sources, LG Display has decided to launch an OLED display in its new P10 manufacturing plant in Paju and to abandon the established goal of producing large-size LCD monitors.
LG Display initially planned to produce 10.5-generation LCDs at the new plant, but then turned the production line into an OLED production line. Due to the rapid growth of China's display company and the negative impact of the global LCD market on the competitiveness of Korean companies, which led to the bottleneck of global LCD supply, LGD made the above decision. Therefore, with the recent changes in the plan, the installation of display equipment has been delayed.
According to an official of the LGD partner, “We have received orders for LGD to provide related production facilities in the third quarter of this year, but LGD has recently postponed orders to the second quarter of next year.”
The delay in P10 investment is partly due to the fact that the show giant has not yet decided whether to use inkjet printing technology. This technique enables more uniform and precise deposition of organic materials on the glass sheet than conventional evaporation methods. The inkjet printing process is also very cost-effective. Samsung, the world's largest mobile OLED manufacturer, and Chinese companies including BOE and Huaxing are also actively developing development projects to deploy the technology. Despite the high efficiency and high output, inkjet printing technology is still considered to be immature.
An official of LGD stated: “The investment in P10 was indeed postponed, but the company will soon decide on this matter and what kind of manufacturing technology will be adopted.”
Due to seasonal factors and the slowdown of the LCD monitor market, LGD’s operating loss for the first quarter reached 98.3 billion won (US$89 million). Due to weak market demand, it is expected that the losses will increase during the period from April to June.