Samsung Officially Spins Off LCD Business
February 20, 2012 10:06 AM
comment(s) - last by
The company will be called Samsung Display Co Ltd
Samsung has announced today that its board of directors has approved the spinoff of Samsung's LCD arm. The new company will be a wholly owned subsidiary of Samsung Electronics. Samsung also notes that moving forward, the new LCD company it has created will consider other restructuring measures such as a merger was Samsung Mobile Display and S-LCD Corporation.
This move comes at a time when profits are slipping significantly in LCD market. Samsung has been increasingly losing money on LCD screens even though it's the world's largest maker TVs. Samsung will shift its focus to new OLED panels moving forward, which are growing significantly and generating much larger profits.
Research company DisplaySearch estimates the global sales of LCD TVs are going to shrink by 8% to about $92 billion by 2015. At the same time, that OLED market is expected to grow to $20 billion by 2018 and make up 16% of the total display market. Today, OLED panels make up only 4% of the market.
The Samsung LCD spinoff is expected to be called Samsung Display Co Ltd and will be launched as new business on April 1. The company will have 750 billion won in capital according to Samsung. Samsung is positioned well in the OLED market with its Samsung Mobile Display providing almost all the OLED panels available. Samsung notes that the spinoff is still subject to regulators and the approval of shareholders.
In December of 2011, Sony split from the
LCD joint venture
it operated with Samsung due to poor profits. Other LCD manufacturers like Sharp have significantly reduced LCD output. Three of the top firms in LCD market -- Panasonic, Sony, and Sharp -- are together expected to lose $17 billion this year alone.
This article is over a month old, voting and posting comments is disabled
2/20/2012 3:38:10 PM
Plasma TV's had dead pixel problems, burn in problems, and all kinds of other problems. Their lifespan still isn't "that great" compared to LCD's either. That didn't stop them from coming to the market and selling millions of units did it?
"Can anyone tell me what MobileMe is supposed to do?... So why the f*** doesn't it do that?" -- Steve Jobs
Sony Sells LCD Panel Joint Venture Shares to Samsung
December 26, 2011, 11:31 AM
Samsung Hopes to Launch Budget Tizen Device in India by November
September 19, 2014, 5:25 PM
Verizon Wireless Wi-Fi Calling Coming Next Year, Company Sees No Rush to Offer Feature
September 19, 2014, 11:45 AM
Quick Note: Toshiba to Restructure PC Business, Cut 900 Jobs Worldwide
September 18, 2014, 1:40 PM
Samsung Galaxy Note 4 U.S. Pre-orders Start Sept 19, Launches Oct 14
September 18, 2014, 10:15 AM
Amazon Releases New and Refreshed Kindle Fire Tablets, Announces Fire OS 4
September 17, 2014, 10:23 PM
Apple Launches iOS 8 for iPads, iPhones
September 17, 2014, 1:54 PM
Most Popular Articles
HTC Preps Nexus 9 With Nvidia K1 64-Bit "Denver" SoC, Android L Onboard
September 10, 2014, 10:21 PM
Dell Announces "World's Thinnest" Tablet: The Venue 8 7000 Series
September 11, 2014, 8:51 AM
Apple iPhone 6, iPhone 6 Plus Reviews Roll In
September 16, 2014, 9:13 PM
Samsung Calls Out “Copycat” Apple for 5.5” iPhone 6 Plus in New Ads
September 14, 2014, 11:06 PM
Confirmed: Next Generation of Windows to Be Announced on September 30
September 15, 2014, 4:43 PM
Latest Blog Posts
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information