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Demand for Novel Display Materials Set to Surge in H2 2015
August 17, 2015 | IHSEstimated reading time: 1 minute
Starting in the second half of 2015, the overall consumption of active-matrix organic light-emitting diode (AMOLED) materials will surge, as LG Display increases the production of white organic light-emitting diode (WOLED) TV panels. In the first half of 2015, the WOLED organic materials market reached $58 million; however, in the second half of the year the market will increase nearly threefold, reaching $165 million. The WOLED organic materials market is forecast to grow at a compound annual growth rate (CAGR) of 79 percent from 2014 to 2019, according to IHS Inc. (NYSE: IHS), the leading global source of critical information and insight.
“Although the WOLED organic materials market is still at a fledgling state, it will grow considerably in tandem with a rise in WOLED panel production, beginning in the second half of 2015,” said Kihyun Kim, senior analyst for display chemical and materials at IHS Technology. “Since WOLED technology is mainly used for large-area AMOLED displays, particularly TVs, this rapid growth in the WOLED market will lead the continued growth in the overall AMOLED materials market.”
LG Display, the leader in the WOLED panel market, began manufacturing WOLED TV panels in their E3 line in Paju, South Korea, in the fourth quarter (Q4) of 2012. To mass produce WOLED panels, the company installed 8th generation mother glass processing in its E4 line in February 2014. While the line became operational in Q4 2014, the line yield has been low to date; however, full operation is set to begin in earnest in the second quarter (Q2) 2015. “Most AMOLED TV panel makers, especially in China, are focusing on WOLED technology, which supports future WOLED material market growth,” Kim said.
The total AMOLED materials market, including both the fine-metal mask red-green-blue (FMM RGB) and WOLED types, will grow 54 percent year over year to reach $658 million in 2015, according to the latest IHS OLED Materials Market Tracker forecast. The AMOLED materials market is expected to reach $2.0 billion in 2019, growing at a CAGR of 37 percent from 2014 to 2019.
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