Samsung Electronics, Recorded operating profit of 1. 34 trillion won in display business

Samsung Electronics announced that they recorded sales of 7.42 trillion won and operating profit of 1.34 trillion won in display business through 4Q 2016 having been progressed on the 24th. This company recorded large scale surplus that exceeded continuous 1 trillion won for two consecutive quarters following last 3Q.

According to Samsung Electronics, this company says that sales has been increased and cost-improving activities were continued through customer diversification in case of 4Q 2016, and also sales volume of OLED panel was increased to a small extent compared to previous quarters. Sales price strength has been continued in demand-supply stability in case of LDC business, and they reveal that business results have been improved indebting to sales increase of high value-added products such as UHD/large size etc. together with yield/cost betterment. In case of TV panel sales, the volume was decreased a little compared to previous quarters from its quantity and areas all together.

Samsung Electronics lights up a business schedule that they will propel growth compared to previous year by expanding exterior supplies of high-end products including Flexible etc. based on technology leadership and securing capacity of Samsung Electronics in 2017 OLED business. They estimate that needs on high value-added Flexible will be greatly expanded according to form-factor innovation of Smartphone.
Besides, they convey their words such like constant increases of China companies’ capacity in LCD business and deepened competition between companies have been made, but they will endeavor to sustain stable profitability through expansion of product sales and design differentiation including Frameless and Curved while strengthening competitiveness of high value-added products including UHD/large size etc.

Samsung Electronics executed 25.5 trillion won in facility investment, and 9.8 trillion won was invested to display business, and also 2017 investment volume of facilities was not fixed yet.

They disclose schedules of propelling sales increase by positively responding to needs of client products according to increasing OLED adaptation by main Smartphone clients in OLED business in the first quarter, and also carry forward performance enhancement through P-Mix efficiency. Though demand decrease of LCD business is estimated owing to entering off-season, tight supply-demand looks to be continued, and they delivers their words like they will devote securing profitability through expanding high value-added product sale and constant boosting of cost competitiveness.
Thus, Samsung Electronics lights up that they will secure profitability by expanding high value-added products such as UHD/ large size/Curved etc.

In 2016 Q4, Samsung Electronics recorded sales of 90 million cellular phones and 8 million tablets, and they forecast that sales of cellular phones will be increased in the first quarter compared to previous quarter, and sales of tablet will be decreased. They explain that sales of LCD TV recorded 16 million TV, and 40% was decreased by influences of seasonal reason in the first quarter, but one-digit growth of early stage is expected annually.

On the other hand, they say that Samsung Electronics does not consider additional disclosure of LCD production line at now while explaining that closure of L7-1 (LCD) line end of last year was not related to Sharp as a matter of willing to do OLED switch before supply stop of Sharp according to Samsung Electronics. In relation with OLED capability, they deliver policy of willing to secure it according to market and customer needs.

All about OLED in one place, UBI Research, ‘3rd OLED KOREA Conference’ will be held

UBI Research plans to hold the 3rd OLED KOREA Conference with the theme of “Lessons from History and How OLED Can Evolve” at Novotel Ambassador Hotel on Mar. 8 (Wed) to 9 (Thu).

The OLED industry is expected to grow rapidly according to the adaption of full-driven OLED panels by Sony and Apple in 2017 and the competition among panels, equipment, and manufacturing companies can be intensified at the same time. It is necessary to understand and respond strategically to industry trends for successful business under such circumstances. The opportunities to share ideas and concerns each other and close exchanges between Industry-academic institute, panel, materials and equipment companies have been required. UBI Research has prepared a place to freely exchange various information and opinions through the 3rd OLED Korea Conference by reflecting such needs of the industry.

The Korea Conference will be an opportunity to analyze the past trends of OLED which the usage and application range is getting wider and to discuss the successful advancement and strategies to grow the OLED industry for the future. Therefore, it will be a valuable time to practically help the OLED industry.

The Presentation is planned by twenty-four (24) domestic/international experts related to OLED display such as set and panel makers, materials/equipment companies, university/research etc. including UBI Research, Samsung Display, Cynora and CEREBA about followings:

▲Exploring new opportunities with OLED and the preparation, ▲Possible directions and the reasoning for OLED, ▲Lessons from the history and how OLED can be evolved, ▲OLED and its collaboration, investigating the possibilities

We will establish the opportunity to contribute to the growth of the OLED industry based on the sharing of mutual opinions by preparing a networking space between the companies through luncheon during the conference period and breakfast with OLED reception.

Detail information can be found in www.oledkoreaconference.com

OLED TV, leading a new paradigm in the display market

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‘2016 OLED accounting seminar was held by Ubi industrial research on Dec 2nd in the Small& Medium Enterprise Hall. Lee, ChungHoon, the president of Ubi industrial research said, “OLED is leading a new paradigm in the display market, advancing a perfect black color and fast response rate compared to LCD. Most LCD manufacturers have introduced QD-LCD with the enhanced color reproduction, compared to the existing LCD. However, OLED is also in the evolution of display technology ”

LG electronics set up dark light at the booth in CES 2016; but later in IFA 2016 it displayed OLED TV, brightening the booth to show the confidence in luminance of OLED TV. Via CES 2016 and IFA 2016 the luminance has been improved from 600 nits to 800 nits, and next year OLED TV with higher than 1,000 nits will be launched.

The president Lee said, “In the current TV market, the unit price of OLED panel is triple the price of LCD and QD-LCD is double. If LG display reduces the OLED panel price, LCD manufacturers will be threatened due to the competitive pricing and technology of OLED panel.”

LCD manufacturers need to prepare marketing strategy for QD-LCD to be distinguished from OLED. Certainly there has been a market interest increased in QLED which seems, however, to be at a very early development stage like an embryo in the product life cycle. The soluble OLED will be introduced in the market earlier than QLED, the development of which prospectively takes at least 10years.

The primary issues of OLED TV can be summarized in three elements-size, price and luminance. The current OLED TV size is mainly 55”, but it is important to form a market for 65” and larger. The investment in Gen 10 line is necessary but has not been well established yet. As far as the price is concerned, if the ink jet technique is implemented in a new production line the price can be significantly reduced. The luminance can also be improved by 3-stack and top emission structure.

The shipping amount in 2016 is 390million, and will reach 1.5billion in 2020 in prospect. Flexible OLED panel will lead the high-end market while a rigid OLED panel for the mid-end market. The revenue will grow from 17trillion in 2016 to 60trillion in 2020. The estimate can be accomplished if Chinese manufacturers such as BOE, Tianma and GVO successfully advance and continue to grow in the market.

The current OLED market is growing in the mobile-oriented market, however, since 2018 TV will be stably settled and well established in the future.

2017 will be an important year to be able to emphasize the innovation of OLED to consumers

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<Lee Woo-keun, a senior researcher at LG Economic Research Institute>

Lee Woo-keun, a senior researcher at LG Economic Research Institute, predicted that the year 2017 will be an important year to be able to emphasize the innovation of OLED to consumers, in the seminar for the 2016 OLED evaluation held at the Yeouido Small & Medium Business Center in Seoul, hosted by UbI Research on last December 2.

He added “LG is leading the OLED TV market in the premium TV market ahead of next year’s CES, but we will have to keep an eye on the impact of Sony’s joining” as one of the notable issues in large-sized OLED panels, and he continued “as there is still a fundamental expectation for Sony’s image quality among existing consumers, we will have to pay attention to what innovative appearance Sony’ OLED TVs will show and how they can appeal to consumers.

Referring to the adoption of OLED panels in Apple’s iPhone8 (tentative name) in the mobile phone market, as a small and medium issue, he said “it is important how to realize OLED display on Apple iphone 8, and how much impact it will have on consumers through this”. He said “if we could not show the innovation distinguishing it from existing LCDs despite adopting OLEDs, consumers’ expectations for OLEDs may be diminished,” emphasizing that it should draw meaningful responses to OLEDs from consumers’ perspective .

It is expected that Apple will launch iPhone applying flexible AMOLED panels in 2017, and Sony is also being confirmed to continuously review its entry into the OLED TV business. In 2017, it is expected that the number of set-makers launching OLED-applied products will increase more. In the situation that consumers are expecting a ‘completely new thing owned only by OLED products’, which is entirely different from existing LCD products, through various media reports and rumors, the year 2017 seems to be an important year to emphasize the innovation of OLED and to promote its merchantability.

Would it be possible to accelerate commercialization of QLED by Samsung Electronics’ acquisition of ‘QD Vision’?

According to the industry source dated Nov. 21, it was confirmed that Samsung Electronics was selected as a preferred bidder participating in the acquisition battle for ‘QD Vision’. The amount of acquisition proposed by Samsung Electronics is U$70million, and the industry expects that the final takeover will be agreed no later than the next week.

Quantum dot is the materials whose implementing color is different according to the size, and Samsung Electronics is introducing SUHD TV to the premium TV market, which improves the color reproduction rate by applying quantum dot sheet to LCD BLU for the first time in the world, and Chinese companies are actively launching the products.

‘QD Vision’ established by the researchers from MIT, is a specialized enterprise with high technology in the field of cadmium-based quantum dot and it is introducing non-cadmium-based material, too, lately. The industry considers that the acquisition of ‘QD vision’ by Samsung Electronics is the cornerstone to accelerate the commercialization of QLED along with the expansion of the quantum-dot TV market.

Although QLED is highly anticipated to be available to realize the panel with high purity as it is less impacted by oxygen and moisture than OLED and as it has a narrow half width, very low efficiency and life time compared to OLED materials are mentioned as the problem, under its initial stage of development. Furthermore, cadmium used in the core of quantum dot is highly toxic carcinogen, so Cd-free materials are being developed by ‘QD Vision’, ‘Nanoco’, ‘Nanosquare’, etc., however, its performance is lower than Cd-base materials. Therefore, the industry expects that it will take at least 5 years for QLED to be applied to mass production.

In the meantime, related with this issue, in the ‘Market penetration possibility analysis and seminar for QLED and Solution Process OLED’ hosted by UB Research in last October, Professor Chang-hee Lee of Seoul National University mentioned that, “If large-scale investment and manpower would be input, it is likely to find the product in earlier time than expected, and there is a possibility that the entry barrier can be lowered due to its similar structure to OLED”

It is highly attended that whether the acquisition of ‘QD vision’ by Samsung Electronics can accelerate the commercialization of QLED by becoming the starting point of large-scale investment, and what effect would be influenced to the display industry.

OLED is the trend in Korea from now on!

7th Display Day ceremony was held in the evening of October 4 at JW MARRIOTT Seoul. In the congratulatory message, Vice Chairman of LG Display Han Sang-beom, President of Display Association, stressed like “LCD industry of Korea surpassed Japan in 2004, and there is not much time left in being chased from China within approximately 10 years,’ and expressed his opinion that concentrating on OLED will be the best way so that display industry could do sustainable growth afterwards.

These atmospheres were revealed clearly to achievements of awardees. Responsible persons belonged to companies that have significant achievements on OLED were awarded including Bronze tower industrial order, Industrial service merit, Presidential citation, and Prime Minister citation.

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<From Left, Managing Director Lee Jong-hyeok of Samsung Display, Representivative Shin Dong-chan of INVENIA, Head of Research Center Yoon Soo-yeong of LG Display>

Representative Shin Dong-chan of INVENIA who won bronze tower industrial order was awarded for developing 8th generation WOLED deposition equipment, and Managing Director Yoon Soo-yeong, Head of Research Center in LG Display who developed 55inch transparent OLED together with Managing Director Lee Jong-hyeok of Samsung Display having developed OLED key technology were recognized as making Samsung Display occupy 97% of OLED market.

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LG Display OLED TV, ‘Top in all fields’ according to an expert evaluation on picture quality

OLED TV of LG Display Co., Ltd won praise of the highest quality from DisplayMate, US display expert group.

On 4th (US Eastern time bases), DisplayMate opened an evaluation result which compared picture quality of 65inch OLED TV having UHD with that of the latest LCD TVs through posting titled ‘2016 LG OLED TV Display Technology Shoot-Out.’ in its homepage.

The comparative evaluation of DisplayMate was made over whole picture quality parts such as ‘Black expression,’ ‘HDR realization,’ ‘Viewing angle,’ ‘Color/Brightness accuracy,’ ‘Response speed,’ and ‘Reflectivity’ by objecting 65inch OLED TV (Model name: 65E6) that has UHD resolution and is currently on the market and the latest LCD TVs.

In ‘Black expression’ evaluation first, DisplayMate analyzed that OLED TV expressed perfect black color without leak of light phenomena by controlling each pixel differently from LCD TVs.

Specially, in the item ‘High Dynamic Range realization,’ DisplayMate praised OLED TV highly in that it realized HDR of infinite levels by exceeding high ones, while the latest LCD TVs have limitations of not being able to satisfy black and white color simultaneously owing to the light emitted from close backlight in spite of applying its local dimming technology.

In the viewing angle evaluation, DisplayMate analyzed that contrast changes did not occur even when watching OLED TV from the side, but phenomena of lowered color reproduction rate, reduced color shift and contrast were made in case of LCD TVs.

From the accuracy aspect on color and brightness, OLED TV had little color equation shown from input data and output images when doing analyses with HDTV standard (BT.709) having been decided by International Telecommunication Union (ITU) and Digital Cinema Initiatives, so it was analyzed as having a clear relative predominance vs. the latest LCD TVs.

In case of response speed, ghost image appeared in the latest LCD TVs after have shot dynamic video (2,544 pixel shift per second) with 1/320 second, but OLED TV showed perfect images that had not blurs at all.

In addition, Displaymate analyzed that OLED TV realized vivid picture quality having not light reflection in home background where effects of lamination and sunlight were large because reflectivity on exterior lighting was only 1.1%. This was derived from excellent results of about 2 times compared to LCD TVs whose reflectivity was 2.2%.

From evaluated results by DisplayMate, a fact that OLED TV of LG Display have a different technology in dimensions by exceeding LCD is proved again such like ① OLED TV realizes perfect black color by spontaneous emission, ② Belongs to an optimistic TV in realizing HDR, ③ Expresses same color without its fading from any angle, ④ Boasts of perfect picture quality without distortion by expressing correct color, ⑤ Gives vivid screens without afterimages through quick response speed, ⑥ Has an aspect of being optimistic to home TV environment due to low reflectivity.

Doctor Raymond M. Soneira of DisplayMate said “In terms of picture quality, the 65inch OLED TV of UHD resolution having adopted OLED panel of LG Display is visually indistinguishable from prefect,” and paid OLED TV the highest compliment by adding “It is unquestionably the best performing TV that we have ever tested or watched.”

Meanwhile, DisplayMate is a display specialty media which operates US display expert group, and its influences are enormous to the degree that citation numbers of tech-related articles are a lot as ranking 61 following USA Today among media around the world, and Doctor Soneira who progressed this evaluation majored in Theoretical Physics in US Princeton University, and also is undertaking Representative of DisplayMate now as a display specialist who passed through AT&T Bell laboratory and CBS broadcasting station etc.


Samsung Launches TV PLUS in Thailand and Vietnam

Source = Samsung Elec.

Samsung Launches TV PLUS Service in Thailand and Vietnam. (Source = Samsung Elec.)

Hyunjoo Kang / jjoo@olednet.com

Samsung Electronics today announced that its TV PLUS service is now available in Thailand and Vietnam on 2016 Samsung Smart TV UHD Models. All other Smart TV models, including Full HD Smart TVs, will be supported by the end of June. This service enables users to find exciting video clips by simply moving to designated channels, instead of having to toggle between different apps.

As a part of the TV PLUS upgrade, users in Thailand and Vietnam will automatically receive four popular Korean Pop channels of CJ E&M’s ‘Tving TV’ including Awesome Singers (Channel 101/555), KPOP Boy Group Stage (Channel 102/556), KPOP Girl Group Stage (Channel 103/557), and M Countdown (Channel 104/558). Further ahead in 2016, Samsung plans to collaborate with additional global and local content partners to expand the channels and variety offered on the service.

“We are thrilled to offer TV PLUS and exciting K-POP content to our users in Thailand and Vietnam,” said WonJin Lee, Executive Vice President of Visual Display Business at Samsung Electronics. “TV PLUS is a new kind of Smart TV service that creates a better user experience, and enables consumers to watch their favorite programming in a more integrated way. We are committed to continuing to develop and launch new services that meet the unique needs of our Smart TV owners.”

TV PLUS can be enjoyed by simply connecting an eligible Smart TV to the Internet through a LAN-line or Wi-Fi network. For those who have agreed to the Smart Hub terms of use, relevant software upgrades are automatically initiated once connected to the internet so consumers can use the service instantly and without the need for further installment or registration. Users with cable TV and IPTV can join the fun by selecting TV PLUS on their Smart Hub home screens.

LG Elec., Premium Focused Strategy Results in Highest Profitability 2016 1Q

Source : LG Elec.

Source : LG Elec.

 

Hyunjoo Kang / Reporter / jjoo@olednet.com

LG Electronics Inc. (LG) today announced first-quarter 2016 operating profit of KRW 505.2 billion (USD 420.25 million), a 65.5 percent increase from the same period in 2015 on sales of KRW 13.36 trillion (USD 11.12 billion).

The LG Home Appliance & Air Solution Company contributed the largest amount, KRW 407.8 billion (USD 339.23 million) in operating income for the quarter, while the LG Home Entertainment Company earned KRW 335.2 billion (USD 278.84 million) in operating profit, both up significantly from the first quarter of 2015. The LG Mobile Communications Company posted an operating loss of KRW 202.2 billion (USD 168.20 million) primarily due to increased marketing expenditures for the new LG G5 flagship smartphone, while the LG Vehicle Components Company reported a modest loss of KRW 15.8 billion (USD 13.14 million) reflecting higher R&D investments.

LG’s overall global sales and profitability are expected to improve in the second quarter, with double-digit growth in revenues and higher profitability anticipated as LG continues its premium-focused strategy with LG SIGNATURE products, the LG G5 smartphone and 4K Ultra HD OLED TVs.

LG Home Appliance & Air Solution Company recorded sales of KRW 4.22 trillion (USD 3.51 billion) in the first quarter, an increase of 4 percent year-on-year due in large part to higher premium product sales and growth in its B2B operations. Operating profit and operating margin of 9.7 percent were the highest in the history of LG home appliances. Revenues in the Korean domestic market increased 11 percent from the same period the previous year thanks to strong performance of TWIN Wash washing machines, premium refrigerators and commercial air conditioners. Weaker demand caused by the drop in oil prices and unfavorable currency exchange movements negatively affected sales in markets such as the Middle East, South America and CIS, while revenues in North America and Europe remained strong.

LG Mobile Communications Company reported sales of KRW 2.96 trillion (USD 2.46 billion), a decline of 15.5 percent from the first quarter last year. Shipments of 13.5 million smartphones were 12 percent lower both year-on-year and quarter-on-quarter, mainly as a result of the business entering the slow season as well as declining shipments of existing flagship models due to high interest in the recently announced LG G5. Competition in the smartphone market will continue to increase, leading to further price erosion which LG plans to counter with a strong global push for the modular LG G5 smartphone and new mass-tier models such as its X series.

LG Home Entertainment Company reported revenues of KRW 4.33 trillion (USD 3.6 billion), down 2.3 percent from last year’s first quarter as TV shipments declined somewhat in the key markets of North America and Europe. A solid operating margin of 7.7 percent was accompanied by a 207 percent increase quarter-on-quarter in operating income, demonstrating strong evidence of the growing demand for premium OLED and 4K OLED TV products. Improved cost structure and cost competitiveness is expected to drive improved profitability in the next quarter.

LG Vehicle Components Company sales of KRW 592.9 billion (USD 493.2 million) represent a 55 percent year-on-year increase, on the back of LG’s growing automotive infotainment business, although profitability was negatively affected by increased R&D investments. The outlook for LG’s automotive business is positive, with higher expected demand for electric vehicle components and as LG expands its global reach and secures new customers.

“Samsung Unveils Internet of Trousers Fashion Range”

Hyunjoo Kang / Reporter / jjoo@olednet.com

Source : Samsung Elec.

Source : Samsung Elec.

Samsung Electronics, a world leader in Internet of Things and advanced components, announced the Internet of Trousers, a new lineup of IoT-enabled smarter fashion products.

 

The new fashion range includes an exciting collection of pants abounding with innovative functions. And, boasting an array of unique, contemporary styles that fit just about any lifestyle, these smart wearables are just that… wearable.

 

The intelligent trousers, which combine the latest in high-tech with high fashion, were designed to address the pain points of everyday apparel. Samsung has made smarter fashion a reality by embedding the new garments with ARTIK Smarter Fashion chip modules, which communicate with the Smarter Fabric Care app.

 

Key Internet of Trousers functions include:

 

  • Wi-Fly: Gone are the days of unnoticed, unzipped trouser zippers upon exiting the restroom. Should your fly remain open for more than three minutes, the ZipARTIK module will send a series of notifications to your smartphone to save you from further embarrassment.
  • Get Up! Alert: Using pressure sensors, Samsung’s intelligent trousers detect prolonged periods of inactivity and send notifications to ‘get up off of that thing’ at least once an hour. Should you remain seated for more than three hours, devices embedded in each of the rear pockets send mild electrical shocks to provide extra motivation.
  • Keep-Your-Pants-On Mode: Sometimes it’s easy to get carried away with the moment. The Samsung Bio-Processor in your pants checks your bio-data including your heart rate and perspiration level. If these indicators get too high, Samsung’s trousers will send you subtle notifications as a reminder of the importance of keeping your cool.
  • Fridge Lock: If the tension around your waist gets too high, the embedded ARTIK chip module will send signals to your refrigerator to prevent you from overeating. The fridge door lock can then only be deactivated with consent from a designated person such as your mother or significant other.

 

The Internet of Trousers, and all related products and features, are not actual Samsung products or concepts – at least not yet!

Happy April Fools’!

LG Electronics Launches 58:9 Signage…Transforms Columns and Corners to Billboards

Hyunjoo Kang, Reporter, OLEDNET

<LG Elec. Launched 58:9 Ultra Stretch Signage. Source: LG Elec.>

 

On March 23, LG Electronics launched world’s first 86 inch 58:9 commercial display Ultra Stretch.

 

Ultra Stretch signage allows places which have been difficult to install signage, such as columns and corners, to be used as billboards.

 

LG Elec.’s Ultra Stretch has the widest screen ratio of the signage released. The display is 2,158 mm wide and 349 mm long, and can be installed horizontally or vertically.

 

Ultra Stretch can be used on media pole, which is integrated into columns within buildings such as airports or hotels, and billboards above building entrances. Total of 16 units of Ultra Stretch, maximum 4 units lined horizontally and vertically, can be tiled. When installed on a separate stand, Ultra Stretch can be moved to where needed.

 

This product uses LG IPS panel, and with ultra HD resolution (3840 x 600), small writing as well as customary images are clearly shown. The IPS panel has wide viewing angle of 178°, and clean images can be viewed from any directions.

 

With consideration for commercial use of signage, it was designed to for easy editing of contents as well as other amenities. The display can be divided into 4 screens maximum and provide diverse information simultaneously.

 

For example, if installed in an airport, the display can be divided into 4 sections and each can show information such as weather, traffic information, news, advertisement, and others. This will allow foreign visitors to easily receive information.

 

SuperSign W media editor is equipped for easy transformation of existing contents to 58:9 ratio. Ultra Stretch also includes around 30 sample styles specific to the product.

 

LG Elec.’s Korean B2B Marketing representative explained that Ultra Stretch is a signage never been experienced and will lead the new commercial display market.