Taipei, Tuesday, October 21, 2014 15:41 (GMT+8)
sunny
Taipei
31°C
Digitimes Research: China handset vendors to rely on local AMOLED panel production from 2016
Alex Wolfgram, DIGITIMES, Taipei [Wednesday 29 January 2014]

On December 17, 2013, China-based touch panel maker Truly Optoelectronics announced that it had entered a joint venture with the Huizhou City Government to invest in a 4.5G AMOLED line that will go into production in the second half of 2015 and have a production capacity of about 15,000 substrates a month. This follows similar agreements made between China-based Tianma and BOE with Visionox and EDO to establish a 4.5G AMOLED line, as well as developments by Century and China Star Optoelectronics Technology (CSOT) to further invest in AMOLED production. This means that from 2016 onwards, China's handset vendors are likely to mostly rely on AMOLED panels from local makers, according to Digitimes Research.

With investments from the China government to increase local panel makers' production capacity and technological capabilities, coupled with efforts from local panel makers to attract engineering talent from abroad, the AMOLED panel industry is expected to see major breakthroughs starting 2016, and local handset vendors such as Huawei Device and Lenovo are likely to receive most of their panel supplies from makers such as BOE.

On the other hand, Taiwan-based panel makers such as AU Optronics (AUO) are struggling to increase yields for AMOLED panels, with limited supplies going to HTC. Digitimes Research added that as this trend continues, more China-based handset vendors are likely to resort to local panel makers in the future for handset panels, leaving Taiwan makers' future in the market uncertain.

Realtime news
  • Investment in dynamic Volt/VAR control architectures to total US$17.7 billion from 2014-2023, says Navigant

    Green energy | 26min ago

  • iEnergy launches second-generation micro-inverter

    Green energy | 30min ago

  • TV vendors look to upcoming holiday periods for Ultra HD TV development

    Displays | 32min ago

Pause
 | 
View more

Trends and forecasts for the China FPD industry, 2014-2017

CHINA FPD | Oct 6, 12:29

With China being the world's IT production center and a country with some of the strongest consumer demand, along with benefits on custom tax, funding, loans, and subsidies provided by the government, China's FPD industry continues to show strong growth. Local...

Taiwan servers and the global server market, 2014

RESEARCH EXTRAS | Oct 3, 12:19

Taiwan makers have successfully entered the supply chain of the Internet data center (IDC) industry and may contribute over 90% of the global server shipments in 2014. Combined revenues from related product lines such as motherboards, back-end assembly, storage...

Taiwan LCD monitors – 2Q 2014

TAIWAN FPD | Aug 25, 14:48

Taiwan's monitor shipments grew 10% in the second quarter compared to a low first-quarter base. With panel makers reducing their supply of monitor applications and monitor vendors reluctant to increase their shipments, Taiwan's makers will only see a single-digit...

China smartphone market and industry – 2Q 2014

CHINA SMARTPHONE | Aug 12, 17:41

A delay in the launch schedule for low-cost 4G smartphones resulted in a mere 4.8% increase in second quarter shipments in the China market. However, with telecom operators planning on increasing their subsidies in the second half of the year, demand will be...

Taiwan small- to mid-size LCD panels – 2Q 2014

TAIWAN FPD | Aug 6, 21:18

Taiwan makers' small- to medium-size panel shipments reached 351.4 million units in the second quarter of 2014, up 16.8% sequentially but down 2.8% on year.

Demand and supply trends in the global sapphire industry, 2014-2015
DIGITIMES Research Tracker Services
Greater China touch panel shipment forecast through 2015
  • 2014 global high brightness LED market, trends and shipment forecast

    For the global LED lighting market, the market size will reach US$25.82 billion in 2014 or a market penetration rate of 23.4%. This is attributable to exponential shipment growth for light bulbs, tubes, and directional lamps.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.