BOE Technology, in association with partners, unveiled plans on Tuesday to establish a cutting-edge AMOLED production facility in Chengdu, China, with an investment of 63 billion yuan ($8.8 billion).This initiative aims to focus primarily on crafting high-end touch screens for devices like laptops and tablets, as outlined in BOE’s filing to the Shenzhen stock exchange. The move signifies a strategic pivot towards advanced display technology in response to burgeoning market demands.

The company’s recent earnings guidance for the first half of 2023 reveals a promising trajectory. BOE anticipates a net profit ranging between RMB700 million to RMB800 million, with earnings per share expected to land between RMB0.016 to RMB0.019. Bolstered by an optimistic outlook, the forecasted growth in Q2 sets the stage for a robust performance throughout the fiscal year.

BOE’s dominance in the display market was reinforced in the first half of 2023, reaffirmed by market research agency Omdia. The company retained its leading position worldwide across five key segments — smartphones, tablets, laptops, monitors, and TVs — both individually and collectively by LCD display shipments.

Earlier this year at SID Display Week 2023, BOE unveiled an array of forward-looking technologies under its flagship brands such as ADS Pro, f-OLED, and α-MLED. These innovations showcased groundbreaking applications including smart in-vehicle displays, glasses-free 3D visuals, and advancements poised for integration within the metaverse, signaling the company’s commitment to cutting-edge advancements.

Amidst market dynamics, Omdia reports a steady upward trajectory in LCD TV display product prices, while laptop and monitor display prices have stabilized, bolstered by resurging demand across mainstream applications. Concurrently, niche sectors like smart cockpit displays, AR/VR, and foldable displays have witnessed steady growth, contributing to improved production line utilization and subsequently enhancing the company’s overall performance.

In the realm of OLED displays, despite limited smartphone demand, shipments of flexible AMOLED displays have skyrocketed, surpassing 50 million units in the first half of the year — an impressive surge of nearly 80 percent. This surge underscores a notable shift in consumer preferences towards advanced display technologies beyond traditional applications.

BOE’s significant investment in Chengdu’s AMOLED production line stands as a testament to its commitment to innovation, solidifying its position as a trailblazer in the dynamic display technology landscape.