Chinese Panel Makers Top Over One Million Units in Quarterly Shipments for AMOLED Smartphone Displays
December 23, 2016 | IHS MarkitEstimated reading time: 2 minutes
Chinese panel manufacturers shipped more than one million AMOLED (active-matrix organic light-emitting diode) smartphone displays for the first time in the third quarter of 2016. While the Chinese makers only make up less than 2% of the AMOLED smartphone panel market in terms of shipments, hitting the one million unit mark in a quarter shows significant improvements in their manufacturing technology, according to IHS Markit (Nasdaq: INFO), a world leader in critical information, analytics and solutions.
According to the IHS Markit Smartphone Display Market Tracker, total shipments of AMOLED displays for smartphones set a new record of 101 million units in third quarter 2016. While Samsung Display continues to retain its dominant position with 99.7 million units, three Chinese panel makers -- EverDisplay Optronics (EDO), Tianma Micro-electronics and Govisionox Optoelectronics -- shipped 1.4 million units for the quarter, representing a sharp increase from the approximate 590,000 units in the previous quarter.
“Strong demand from Chinese smartphone brands, especially OPPO and Vivo, helped boosting overall AMOLED panel demand significantly,” said Terry Yu, principal analyst of small and medium displays for IHS Markit. “Many Chinese smartphone makers, such as Meizu, Gionee, Lenovo, Huawei and even Xiaomi, are planning to adopt AMOLED panels in their devices. This gives Chinese display suppliers a great opportunity to gain more orders, improve their mass production yield rate and enhance their product reliability.”
According to IHS Markit, AMOLED display penetration among Chinese smartphone brands is expected to increase from 8 percent in 2015 to 13.6% in 2016. However, due to the tight supply of AMOLED panels from Samsung Display, many domestic smartphone brands are turning to local Chinese panel makers. For example, after Xiaomi and Huawei failed to secure their orders of AMOLED panels from Samsung, they struck partnerships with EDO, the leading AMOLED panel suppliers in China, with the promise of mass production and product reliability. EDO, which started operating its Shanghai-based Gen 4.5 AMOLED fab in 2014, shipped one million units of AMOLED panels in the third quarter of 2016, up from 0.2 million units in the first quarter. Similarly, Tianma and Govisionox have also developed business relationships with ZTE as its secondary supplier of AMOLED smartphone displays.
“Chinese panel makers are still too small to threaten Samsung’s dominant position, but they still play an important role as a second or third source for major smartphone brands in China,” Yu said. “Furthermore, as Samsung Display shifts its focus to the flexible OLED, Chinese panel makers are expected to expand their shares in the rigid OLED panel market.”
About IHS Markit
IHS Markit is a world leader in critical information, analytics and solutions for the major industries and markets that drive economies worldwide. The company delivers next-generation information, analytics and solutions to customers in business, finance and government, improving their operational efficiency and providing deep insights that lead to well-informed, confident decisions. IHS Markit has more than 50,000 key business and government customers, including 85 percent of the Fortune Global 500 and the world’s leading financial institutions. Headquartered in London, IHS Markit is committed to sustainable, profitable growth.
Suggested Items
MKS Instruments Reports Q1 2024 Financial Results
05/09/2024 | MKS Instruments, Inc.MKS Instruments, Inc., a global provider of enabling technologies that transform our world, reported first quarter 2024 financial results.
Punching Out: Breaking Out of the Valuation Box
05/09/2024 | Tom Kastner -- Column: Punching Out!Most companies are in a “valuation box.” That is, the value of the company, based on a market multiple, is not equal to the value of the assets. Or worse, once debt is paid off, the net proceeds would actually be negative. Here are some tips for getting out of the box.
Incap Releases Unaudited Business Review for January–March 2024
05/08/2024 | IncapRevenue for the first quarter 2024 amounted to EUR 51.4 million (1–3/2023: EUR 72.2 million). Year-on-year the revenue decreased 29.3%, as expected.
Schweizer Electronic: Business Development in Q1 2024
05/08/2024 | Schweizer Electronic AGThe sales of the SCHWEIZER Group amounted to EUR 39.2 million in the first quarter of 2024 (Q1 2023: EUR 37.1 million). This corresponds to an increase of +5.5 percent compared to the same quarter of the previous year.
Key Tronic Announces Results for Q3 of Fiscal Year 2024
05/08/2024 | Globe NewswireFor the third quarter of fiscal year 2024, Key Tronic reported total revenue of $140.5 million, compared to $164.6 million in the same period of fiscal year 2023.