Build a factory too fast! 2018 AMOLED panel oversupply
According to the latest survey by IHS Markit, the flexible AMOLED panel factory has been built at a speed exceeding global demand. It is expected that the capacity of flexible AMOLED panels will be 44% higher than the global area demand in 2018.
In 2018, flexible AMOLED panels may have oversupply
As the new capacity is opened faster than originally expected, the balance of supply and demand of global flexible AMOLED panels will be broken in 2018, and the supply will be 44% higher than the demand. The supply of flexible AMOLED panels will reach 4.4 million square meters in 2018, an increase of 100% over 2017, but demand will only grow by 69.9% to 2.4 million square meters.
Panel makers expect flexible AMOLED panels to penetrate the smart phone market faster, but from 2017 to 2018, most smart phone brands focus more on LCD panels with a screen aspect ratio of 18:9 and conventional AMOLED panels. Instead of using flexible AMOLED panels. Mainly because the price of the flexible AMOLED panel module is still relatively high, and the quality and reliability guarantee of the panel factory have yet to be improved. Using the same 6-generation AMOLED production line, the cost of producing a flexible AMOLED panel is 1.5 times higher than that of a conventional AMOLED panel.
The cost of producing flexible AMOLED panels is 1.5 times more than the cost of producing conventional AMOLED panels
In the near future, ultra-widescreen or full-screen smart phones will still maintain a competitive advantage over curved smart phones. Due to the high cost, smart mobile phone brands only use flexible AMOLED panels in the flagship models of their top mobile phones. This makes it even more difficult for new entry or smaller-scale flexible AMOLED panel suppliers to achieve full production quality and stable trust. Sexual requirements. This will also result in a lower capacity utilization rate for new entry or smaller-scale flexible AMOLED panel suppliers' factories, and the ramp-up process it faces will also be relatively long. Because of this, the capacity of flexible AMOLED panels will be 44% higher than demand in 2018.
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