1.3 inch OLED
First, the market penetrated quickly. Li Yaqin predicts that in the fourth quarter of 2016, the penetration rate of AMOLED panels in the Chinese smartphone market will be close to 30%, which is higher than the penetration rate of around 20% in the global market. Previously, the media has reported that in 2018 Apple will make extensive use of AMOLED panels. In addition to Apple, users of the largest AMOLED mobile phone panel in the Chinese market are expected to be OPPO. Samsung has been actively promoting AMOLED panel sales in the Chinese market in recent years. OPPO and VIVO have been strategic partners.
Like OPPO, the penetration rate of AMOLED panels in its mobile phones in 2015 is 20%, and this year it will reach close to 50%, and it will grow very quickly. “Because AMOLED is the seller's market, the supply and demand sides will determine the ecology of the entire AMOLED,” said Ya-Qin. However, Huawei and OPPO are decidedly different. In 2015, the penetration rate of AMOLED panels in their mobile phones was almost zero. In 2016, the penetration rate of AMOLED panels was maintained at less than 5%.
Second, investment is booming. According to Li Yaqin, with the global production capacity of mobile phone panels for the 6th and 6th generations, the proportion of AMOLEDs will reach 40% by 2018 and close to 50% by 2020. Considering factors such as yield, OLEDs The volume ratio will be slightly lower, and is expected to account for between 40% and 45% of the 6th and 6th generation mobile phone panel shipments in 2020.
Third, the cost is close to the liquid crystal (LCD). “This is a very surprising point for the domestic industry. The cost of rigid AMOLEDs has dropped rapidly, especially from 2014 to the present.” Li Yaqin said that the cost of AMOLEDs has dropped rapidly and the cost of 5.5-inch FHD (Full HD) LCD screens has dropped Not so fast.
Due to different structural principles, the material cost of AMOLED is much lower than that of LCD. The cost of LCD accounts for nearly 60% of the cost, but the cost of AMOLED is only 40%~45%. The other major is depreciation, amortization and yield costs. “The depreciation of some of the production lines of the AMOLED production line that was initially invested by leading companies will soon end. That is to say, the depreciation cost that accounts for close to 30% will drop rapidly and the cost of AMOLED will drop rapidly.”
Li Yaqin predicts: “The cost of OLED panels will gradually approach the cost of LCD panels and even lower LCD costs in the foreseeable future. This will be the biggest challenge facing the LCD industry. How to maintain their competitiveness is critical.”