"This Year, Global OLED Smartphones Expected to Increase Up to 34%"

[Asia Economy Reporter Changhwan Lee] It is forecasted that smartphones using organic light-emitting diode (OLED) panels will increase to 34% in the global market this year.

On the 17th, Kiwoom Securities projected in a report that the penetration rate of OLED smartphones will rise to 34% this year, up 6 percentage points (p) from 28% recorded last year.

The shipment volume of OLED smartphones this year is expected to reach 460 million units, a 16% increase compared to the previous year.

This is because despite the COVID-19 pandemic, the proportion of 5G smartphones in China is rapidly increasing, expanding OLED adoption, and Apple is also expected to adopt OLED panels for all three models to be released in the second half of this year.

Recently, Qualcomm mentioned uncertainty regarding the total smartphone shipments in 2020 during a conference call but maintained its previous forecast for 5G smartphone shipments at 180 million to 230 million units.

It was particularly noted that Chinese companies are aggressively launching 5G smartphones, and the penetration rate of 5G smartphones is exceeding expectations.

The launch of 5G smartphones is raising the basic specifications of smartphones, and there is anticipation for expanded adoption of OLEDs, which enable efficient power consumption.

Additionally, the report explained that with the depreciation of Samsung Display’s A3 factory ending in 2022, an expansion of panel supply through aggressive pricing policies is expected.

Considering the production capacity of small and medium-sized OLEDs, the report also suggested that proactive investments by companies are necessary to prevent supply shortages in 2022.

In particular, it was pointed out that preparations are needed to accommodate the significant increase in demand for flexible OLED panels.

This content was produced with the assistance of AI translation services.