Samsung is not making money from their LCD business, Reuters reports. Therefore Samsung is supposedly considering converting some of their LCD factories to OLED manufacturing facilities. In 2012 Samsung expects to sell 50 million TVs.
Samsung losing money on LCDs
Samsung was one of the few manufacturers to make money from their LCD-TV operations but Reuters now reports that things have changed. Samsung has realized a loss of 1 trillion Won (around $891 million) from the LCD business in fiscal year 2011.
Samsung is considering what to do with their loss-making LCD business – here is the 2012 flagship TV
The LCD business also covers Samsung's "LED" TVs and LCD panels used in smartphones, tablets, computers and laptops.
Korean newspaper, Chosun Ilbo, says that Samsung may spin off the LCD activities over the next few years after the break up with Sony. Reuters claims to know that Samsung is considering will convert some LCD manufacturing facilities to OLED manufacturing facilities. This is possible with some further investments. Samsung’s spokesperson even confirms to Reuters that Samsung is "internally reviewing various options but nothing has been decided yet,".
It is also reported that Samsung’s parent company may decide to buy the OLED activities in Samsung SMD (Samsung Mobile Display) that is responsible for Samsung’s OLED panels in handheld devices.
The changes will not affect Samsung’s line-up of 2012 TVs. In 2012 Samsung expects to sell 50 million TVs – half of those being Smart TVs. Samsung sold 43 million TVs in 2011. Samsung’s head of TVs also says that Samsung will debut a range of very inexpensive TVs this year.
- Sources: Reuters, Chosun Ilbo
Samsung considering future of LCDs after losses
