Galaxy customers seem to love the organic panels, which are well known for having near infinite contrast levels and bright, vibrant colors. While the OEM's own phones usually make use of the technology, in recent years this has spread to supply for competitors as well, including most recently, OnePlus's OnePlus 3. It's according to Nikkei that Samsung intends to spend approximately KRW 8 trillion (or $6.8 billion) to bring OLED panel production sky-high.
Bulking up OLED production will account for around 80% of Samsung's capital investment in its panel business this year. This comes as little surprise to the masses following leaks and rumors surrounding the iPhone 7, as an OLED panel for an iPhone has been expected since past year at this time.
Samsung's current OLED panel production capacity is estimated to be equivalent for 300 million smartphone screens per year. "Japan Display will spend 50 billion yen to build a new OLED production line in spring 2017, with mass production to start in 2018 or later".
Samsung is one of the world's biggest manufacturers of OLED displays and the company features such screens on all of its smartphones.
Samsung Electronics aims to raise production of next-generation smartphone displays by more than 50% in 2016, as it eyes Apple's iPhone supply chain and other manufacturers that are updating device specs, reported the Nikkei.
However the boost in production at Samsung suggests that it's quota has been increased; factors such as quality control and volume are accountable.
LG Display also plans to invest more into expanding production of OLED television and other panels over the next several years. The increase in investment will enable the company to increase smartphone production by at least 200 million. Indeed, Samsung is producing OLED for far more clients than just Apple, it is now the market leader in the OLED production space and aims to hold onto that lead in the face of ambitious usurpers, including fellow-Korean rival LG, which has its own plans to boost its OLED efforts to the tune of $8.6 billion for TVs alone; the firm is expected to make similar moves in the smartphone space.
Source: Samsung to Boost OLED Display Production Before 2017 iPhone Release
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