OLED expected to welcome long-awaited bloom in 2024 due to arrival of Apple's new iPad

Yuchun Lin, Taipei; Jack Wu, DIGITIMES Asia 0

Credit: AFP

The expectation for the OLED display market in 2024 is quite high, with market research firms forecasting a rebound in revenue, especially with Apple's iPad set to feature OLED displays for the first time, which is expected to drive market growth.

According to a report from Korea's ET News, market research firm DSCC predicts that OLED revenue in 2024 will increase by 4% year-on-year. This marked the first return to revenue growth for the OLED market in three years, after consecutive declines in 2022 and 2023.

In addition, OLED applications were previously focused on smartphones. Revenue in IT devices is expected to see significant growth as well.

As of 2023, smartphones accounted for nearly 80% of the OLED market. However, in 2023, Chinese panel manufacturers increased sales of lower-priced panels, leading to a decline in the average selling price of panels and a subsequent decline in revenue.

DSCC believes that Apple's iPad will be the engine that drives OLED revenue growth in 2024. In the first half of 2024, Apple plans to release two iPad Pro models, equipped with 12.9-inch and 11-inch OLED displays respectively. The estimated sales volume of the OLED iPad models in 2024 will be between 9 to 10 million units.

DSCC predicts double-digit revenue growth in OLED for IT devices such as notebooks and computer displays in 2024, with triple-digit revenue growth expected for OLED in tablets. As for OLEDs used in TV, while 2023 saw a decline of over 20% in both quantity and revenue, an increase in panel sales due to a decrease in the average selling price is expected to fuel revenue growth in 2024.

It's reported that all OLEDs used in iPads are supplied by two major Korean panel manufacturers. Samsung Display (SDC) is responsible for the 11-inch panels, while LG Display (LGD) supplies both 11-inch and 12.9-inch panels.

The number of iPad Pro OLED components SDC ordered from its suppliers is 20-30% more than expected. These suppliers include DS Neolux (OLED materials), Korea Circuit, BHI (PCB), Chemtronics (glass etching), and more. These suppliers are expected to experience revenue growth in 2024.

LGD ranks first in the large-size TV OLED panel market, with a market share of 95.2% in the South Korean market in 2022. In 2024, Samsung Electronics plans to increase purchases of white OLED panels for TVs from LGD, indicating that the market scale growth is equally as promising.