Why does LG, a major display manufacturer, still use panels from Samsung?

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Samsung and LG are major competitors in the display and panel market. However, it's interesting that LG has utilized Samsung's panels in its first OLED laptop model, despite being a major panel supplier itself.

Author: Hồ Sĩ Hoàng

Date: 27/01/23

LG laptops equipped with Samsung displays? (Image: Engadget)

Samsung and LG are major competitors in the display and panel market. However, it's interesting that LG has utilized Samsung's panels in its first OLED laptop model, despite being a major panel supplier itself.

Display technology is continuously evolving, with panel costs becoming more affordable. OLED technology, once limited to high-end products, can now be used in mid-range and even budget devices, including phones, TVs, computer monitors, and laptops. Joining the race, LG has also introduced the new LG Gram Style laptop series with OLED displays.

The new LG Gram Style OLED laptops (Image: LG)

LG has announced its first OLED laptop series, the LG Gram Style, available in 14-inch and 16-inch variants. However, according to the latest reports, these models are being produced using Samsung Display's rigid OLED panels.

Rigid OLED panels use glass substrate, cheaper than flexible OLED panels using plastic. Samsung Display currently manufactures rigid panels at its A2 plant in South Korea, for mid-range smartphones and products like laptops. As demand for these panels in smartphones decreases, Samsung Display is seeking to expand into other tech products and automobiles.

LG likely utilizes Samsung's panels to reduce manufacturing costs (Image: XDA)

On the other hand, LG Display currently only supplies flexible OLED panels for Apple's iPhone and Apple Watch, as well as for luxury cars. Sources suggest LG Display could produce rigid OLED panels by utilizing its flexible OLED production lines, but it would be more costly than the original production lines designed to produce rigid OLED panels like Samsung's.

This marks Samsung Display's first deal to supply OLED panels to LG Electronics, highlighting the OLED market shift in tech products. This move also indicates Samsung's intent to expand its OLED business in the tech market and LG's efforts to keep up with competitors in the laptop market by using OLED panels.

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Source: Gizmochina

See more:

[CES 2023] LG gram Ultraslim, the slimmest laptop ever
LG to manufacture this new technology for Apple Watch Ultra 2

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Frequently Asked Questions

What is the relationship between LG and Samsung in the OLED display market?

LG and Samsung are major competitors in the display market, but LG's first OLED laptop, the LG Gram Style, uses Samsung's rigid OLED panels. This partnership highlights Samsung's growing influence in the OLED market, as it expands into new tech products.

Why did LG choose Samsung's OLED panels for the Gram Style laptop?

LG likely chose Samsung's OLED panels to reduce manufacturing costs. Samsung's rigid OLED panels, which use glass substrate, are cheaper to produce than flexible OLED panels, allowing LG to offer more affordable OLED laptops.

What is the difference between rigid and flexible OLED panels?

Rigid OLED panels, like those used in the LG Gram Style, use a glass substrate, making them cheaper to produce. Flexible OLED panels, often used by LG Display, utilize a plastic substrate, which is more expensive and suitable for products like luxury devices and cars.

How has the OLED display market evolved in recent years?

The OLED display market has evolved with more affordable panel costs, allowing OLED technology to move beyond high-end products. It is now featured in mid-range and budget devices, including phones, TVs, monitors, and laptops, marking a shift in display technology.