Samsung still believes that OLED is the future of display technology, so company has decided to separate its LCD and OLED divisions amid rumors of a return to OLED TVs. The move is seen as a new chance for OLED.
OLED seen as the future
If Samsung wants its display panels to be used in future TVs as well as mobile and wearable devices, it needs OLED technology. With OLED’s flexible and bendable, extremely thin, and power-efficient characteristics, it is the display technology of the future. The company knows that.
Samsung merged its LCD and OLED businesses in 2012, but it has now decided to separate them into two companies once again. The split will allow Samsung to make decisions for OLED separately of its much larger LCD business, and the move is seen as a new chance for the OLED business. Samsung is also believed to consider further investments in OLED in addition to the new Ł3.6 billion plant that will produce OLED displays, including flexible displays.
The announcement comes shortly after rumors have emerged that Samsung is planning to return to OLED TVs. The company put its OLED TV plans on hold in early 2014.
Samsung’s display division had a tough 2014 as profitability in LCDs fell. OLED panels - used mostly in its own Galaxy phones - remain very profitable for Samsung Display.
The names of the new divisions have not been announced.