Samsung may start sourcing OLED panels from rival LG after more than a decade of undermining the display technology for its TVs. This may let Samsung come up with new high-definition TVs in a budget for select markets early this year.
Noida,UPDATED: Jan 3, 2022 12:58 IST
In 2022, Samsung may finally launch an OLED TV after about a decade of absence in space. The South Korean tech major is reportedly sourcing new advanced organic light-emitting diode (OLED) TV units and planning to sell them in select markets by the first half of this year.
Samsung had quit the OLED technology for its TVs altogether, following LG's dominance in the space. The company has instead promoted its line of OLED LCD panels for its high-definition TVs for over a decade now. New reports indicate that Samsung is planning a shift in strategy soon, with the launch of its QLED OLED TVs in 2022.
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The information has been shared by Korea Times in a recent report which cites sources and analysts confirming Samsung's new pursuit. As per the report, Samsung is sourcing advanced OLED panels from a display affiliate of LG Electronics. The company will launch new TV sets with high-definition picture technology in North America and Europe early this year.
The sources cited in the report mention that Samsung Electronics has recently completed "quality testing of TVs using LG Display-manufactured OLED panels." With this, the company finally plans to enrol LG Display into its supply system. Furthermore, the source mentions that Samsung will procure "between 1.5 million and 2 million glass sheets" from LG.
If Samsung goes through with the deal, it may amount to about "a few billion dollars," the report mentions.
A strategic shift for Samsung in 2022
As and when Samsung forms this partnership with LG, it will act as an important diversification in the company's high-definition TV portfolio. Samsung has not shown any interest in OLED technology for years since the space was largely dominated by LG due to the pertaining technology rights and LG's massive capacity to produce OLED panels. Instead, Samsung marketed its QLED panels based on its quantum dot technology.
Samsung now faces a limited supply of these QLED panels. Simultaneously, conventional LCD panels are becoming costlier by the day. Samsung's decision, thus, to use LG's OLED panels will help with a "dual-track approach" for its OLED TV business. The report quotes an executive at Samsung's local partner companies. The move will ultimately help Samsung bring down the cost of its TVs.
Samsung is expected to announce the transition to LG OLED panels "to top retailers and buyers" on the sidelines of CES 2022, which is due to begin on January 5. As per the report, the announcement is expected to come from Samsung's Vice Chairman Han Jong-hee, who oversees TVs and mobile phone businesses.
Published By:
Sarthak Dogra
Published On:
Jan 3, 2022
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