Samsung Electronics orders China's LED epitaxial wafer and chip manufacturer Sanan Optoelectronics' Xiamen Mini LED production capacity

According to industry sources, Samsung Electronics has almost ordered China's LED epitaxial wafer and chip manufacturer Sanan Optoelectronics' Xiamen Mini LED production capacity to ensure that it will launch a large-size high-end LCD TV backlight chip in the third quarter of 2018.

According to sources, Samsung has prepaid $16.83 million for the chip supply.

China's LED chip makers Huacan Optoelectronics and Xiamen Ganzhao Optoelectronics have also begun research and development of MicroLED and Mini LED technology, while China's LED packaging service provider Foshan Guoxing Optoelectronics established MicroLED and Mini LED research in early March 2018. Center to be able to package 0.5-1.0mm Mini LEDs by 2020. In China, Taiwan's LED epitaxial wafer and chip maker, Jingyuan Optoelectronics, may begin production of Mini LEDs for smartphone backlighting in the third quarter of 2018. Epistar plans to begin producing Min LEDs for LCD TVs and gaming monitor backlights by the end of 2018, as well as Mini LED fine-pitch pitch displays.

Taiwan's vertically integrated LED manufacturer, Ronda Electronics, will work with AU Optronics to begin small-scale packaging of Mini LEDs for notebook backlights and high-end display panels in the second quarter to the third quarter of 2018. In 2019, Ronda's Mini LED package revenue ratio is likely to exceed 10%. Rongchuang Energy Technology, a Taiwanese LED packaging service provider, has partnered with Innolux to develop Mini LED backlighting solutions for smartphones, LCD TVs and automotive display applications.

Compared to the cost of an OLED smartphone panel of about $75, a chip backlight for an LCD smartphone panel using 4,000-5,000 Mini LCDs costs only about $10, and the overall cost of the LCD panel is still lower than the cost of the OLED panel. Backlighting of 15.6-inch notebook panels and LCD TV panels requires 2,000 and 5,000-10,000 micro LED chips, respectively.

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