The penetration rate of OLED panels in the smartphone display market is expected to reach over 30% in 2018 due to increasing adoption by smartphone vendors, according to industry sources.
The penetration rate could climb higher should the screen burn-in issue associated with the OLED panels be solved and panel makers be able to ramp up their capacity, said the sources.
The supply of OLED panels will remain constrained in the first half of 2018 as Samsung Display will continue to be the sole supplier that can mass-produce the panels, while rivals including LG Display, Japan Display (JDI) and Sharp may start volume production of OLED panels in the second half of 2018 at the earliest, indicated the sources.
The supply constraints of OLED panels eventually offer current TFT LCD makers additional time to seek other alternatives to further strengthen their competitiveness, said the sources.
While the production of 18:9 all-screen displays has been keeping production lines at most TFT LCD panels makers humming at high gear, the developments of TFT LCD panels with high color saturation, high dynamic contrast ratios and other features will enable TFT LCD panels to withstand fierce competition from OLED panels, commented the sources.