**Beijing Dongfang Factory Secures Apple's OLED Order**
*Release date: September 26, 2017 | Source: Money DJ*
On September 24, Nikkei News reported that BOE’s Sichuan Chengdu B7 plant is set to begin mass production of OLED panels for smartphones in early October. To ensure the final product is ready by the end of the month, BOE will send engineers to the factory during the National Day holiday, working around the clock. This aggressive timeline reflects the company’s confidence in the growing OLED market and its ambition to partner with Apple this year.
In addition to this, BOE executives revealed plans to build a new OLED factory in Mianyang, Sichuan, which is expected to start operations in 2019. The facility is rumored to supply OLED panels for the iPhone. According to industry sources, Apple has been evaluating BOE’s technology and may first integrate it into the Apple Watch before expanding to iPhones.
Currently, Samsung Electronics dominates the iPhone OLED supply chain. To reduce dependency, Apple has been reaching out to multiple suppliers, including BOE, LGD, and Japan Display, sharing technology and resources to support their development.
Industry experts suggest that BOE’s B7 plant technology is on par with Samsung’s. With strong government backing and substantial financial investment—over RMB 93 billion allocated to the Chengdu and Mianyang plants—BOE has the potential to quickly close the gap with Korean competitors.
Despite this progress, Samsung still holds a dominant position in the smartphone OLED market, with over 90% market share. While Nikkei News has praised BOE’s advancements, Chinese media remains cautious, noting that the technology is still not quite at the level of Korean manufacturers.
The Global Times reported that the rising demand for OLEDs has made them a key strategic material for Chinese smartphone makers. Companies like BOE, Huaxing Optoelectronics, and Huiguang are all investing heavily in OLED production. For instance, Hefei Optoelectronics launched its sixth-generation OLED line in Shanghai last December, while BOE invested in a flexible OLED line in Mianyang. Industry analysts estimate that domestic manufacturers have poured hundreds of billions of yuan into OLED development, though stable production is expected to take until 2020.
Zhang Baizhe, a professor at Tsinghua University and an LCD expert, noted that although Chinese factories have made significant investments, OLED technology is complex and requires years of refinement. Samsung has been developing the technology for over a decade, and it took several years to improve yield rates. Chinese manufacturers must be fully prepared for the long-term challenges ahead.
Tags: OLED, OLED panel, OLED market, OLED technology
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