LONDON—Strong sales of premium OLED TVs combined with rebounding smartphone sales in 2021 drove a sharp increase in demand for AMOLED display panels according to a new report from Omdia.
It is reporting demand for AMOLED display panels reached 14.2 million square meters in 2021, a 52.0% year-on-year increase in the area of the displays produced in 2020.
The new Omdia report is also predicting that AMOLED display demand will continue to see strong growth in 2022, although at a reduced level compared to 2021, before settling into a steadier demand pattern over the next several years.
Omdia's latest “Display Long-Term Demand Forecast Tracker '' projects that global AMOLED display demand by area will rise by 11.6% CAGR from 2021 to 2028.
"AMOLED has successfully penetrated the smartphone market, where we expect it to hold market share greater than 35% in 2021," said Ricky Park, senior principal analyst with the Omdia Displays Research team. "Most smartphone brands have adopted AMOLED panels for their high-end models, and they have recently started to aggressively launch foldable smartphones as well."
Park also noted that Samsung Display, LG Display and BOE have been willing to increase supply capacity for foldable displays, and growing demand for larger and higher resolution screens is also increasing AMOLED demand.
Omdia estimates that demand for OLED TV displays increased by 63% from 2021.
Last year LG Display increased capacity for WOLED TV displays. The company started mass production in 3Q20 at its Guangzhou fab, and production yield stabilized at the plant in 2021. AMOLED panels are a better solution for premium televisions, and more TV brands are willing to launch OLED TVs, the Omdia report explained.
"We expect that, based on area, OLED demand for TV will exceed smartphone demand for the first time in 2021," Park said. "Samsung Display, as the second supplier for OLED TV displays, started mass production of QD OLED TV displays in November 2021, and Samsung Electronics and Sony are planning to launch QD OLED TVs this year."
In addition, mobile PC brands have started to adopt AMOLED displays for their high-end models, and Samsung Display is aggressively increasing its supply volume and product lineup with various specifications, Omdia said.
Thinner and lighter displays have improved product quality for mobile PCs and therefore are attractive as a differentiator in the market, the researchers said.
Other IT applications are expected to be next potential markets for AMOLED, Park said, including notebooks, tablets, and desktop monitors.
For more information about Omdia, please visit www.omdia.com.
