OPPO began to purchase mid-range OLED panels from Samsung Display two years ago. It has been transformed into a high-end OLED panel since 2018. It has also become an important customer of Samsung Display. It also predicts that the mainland market demand, which has long been known as a high-end mobile cemetery, will begin to float. Out. Korean media the bell report pointed out that OPPO is the first wave of operators using OLED panels. With its brand awareness, it is expected to help other mainland mobile phone operators to follow up and make the mainland market a new revenue source for Samsung Display. Although Samsung Display won the Apple (Apple) order in 2017, it has ensured the growth of medium and long-term revenue. However, once Apple's iPhone enters the stage of full introduction of OLED panel, the growth of Samsung display will enter a stagnation period, in addition to facing LG The second supplier such as display (LGD) has a food crisis. In contrast, the mainland OLED mobile phone market has just entered the growth stage. This trend is undoubtedly an excellent opportunity for Samsung Display to expand its profit source. Earlier, the news pointed out that OPPO sought 6.4-inch OLED panel supply from Samsung Display. It is expected to be equipped with R13 (tentative name) listed in the second half of 2018. It is understood that this panel uses Rigid-flex PCB parts. OPPO will become the first company in the mainland to adopt this panel, and the specifications of mobile phones will be greatly improved. However, the number of OPPOs required is far less than that of Samsung Electronics and Apple. The annual demand for Samsung Galaxy S series plus Galaxy Note series is about 5,000 to 60 million. Apple iPhone X was originally estimated to be about 100 million. Currently, it is revised down to 70 million pieces. In comparison, OPPO's annual demand will be calculated at the best-selling R9, which will fall to 17 million. In addition, OPPO is not expanding the OLED model, but pulling the panel specifications. However, with the increase in the unit price of the shipment, it is expected that the profit of Samsung Display will increase to a certain extent in the short term. OPPO has entered the mobile phone market for many years. With a strategy that is more expensive than its competitors but higher in specifications, it has successfully succeeded in the fierce competition in the mainland market, with 18% of the market share chasing 19% of Huawei (Huawei), and the main OLED panel is one of the key to success. After the R9 was launched for the first time in 2016, R11 was pursued in 2017 and the R11 was successfully promoted. The OPPO successfully squeezed Huawei in the third quarter of 2017 and boarded the mobile phone sales king. The industry predicts that the aura of OPPO mobile phone will help other companies to follow up with OLED panels. In 2017, the mainland mobile phone market began to experience a growth recession, and the high-end market is becoming rigid. Other players are competing with OPPO, and may launch OLED panels early. The strategy has made OLED panels, which were not favored by high prices in the past, become the equipment that the operators are competing for. However, OPPO's demand for OLED panels is also expected to gradually expand. R9 and R11 are equipped with medium-priced hard OLED panels. In the future, R13 will adopt high-end flexible OLED panels, and low-end models will be able to switch to hard OLED panels. It is pointed out that although Huawei or Xiaomi have launched OLED mobile phones in the past, they all have relatively small shipments. The main models still use LCD panels. Now the mainland market has entered a growth recession, and the industry has the incentive to accelerate the conversion of OLED panels. In response to the possible future outbreak of mainland mobile phone operators, Samsung Display is considering expanding its investment. Currently, OLED panels are produced in Tianan A1, Asan A2 and A3, respectively, responsible for 4.5, 5.5 and 6 generation products, and flexible panels for apples. It is mainly produced by A3. The panels for Samsung Electronics and OPPO are produced by A1 and A2. In the future, according to the demand situation of mainland manufacturers, Samsung Display will be expanded to produce in A4 (tentative name) or A5 (tentative name). The iPhone X uses panels, but the current investment scale is uncertain due to poor sales and market demand changes.
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