Active-matrix organic light-emitting diode (AMOLED) display technology will power more than 50 percent of smartphones sold in 2023 from about 30 percent in 2019, according to IHS Markit | Technology.
AMOLED penetration in the market is accelerating as smartphone brands seek new features to attract consumers. AMOLEDs are claiming market share from the incumbent display technology in the smartphone market, TFT-LCD, due to their advantages in flexibility, image quality and power consumption.
“Smartphone brands at the beginning of 2019 began to focus on 5G models to drum up sales. Since 5G consumer demand is constrained by limited service deployments, the brands have shifted their focus toward improving the appeal of these devices by offering models featuring AMOLED technology,” Hiroshi Hayase, senior director, small-medium displays at IHS Markit | Technology, said.
The latest IDC report said smartphone shipments increased 0.8 percent in the third quarter of 2019 to 358.3 million smartphones.
Most of China’s growing AMOLED production capacity is dedicated to flexible AMOLED panels. As a result, Samsung Display controls the vast majority of global rigid AMOLED production, according to TrendForce.
The share of devices featuring AMOLED panels is expected to grow from 32.8 percent in 2019 to 38 percent in 2020 in the global smartphone marketplace, TrendForce said.
The market share of LTPS-equipped devices is expected to drop from 41.3 percent down to 38.6 percent. The market shares for AMOLED- and LTPS-equipped devices are roughly even, with the former possibly taking the lead in the future.
Samsung, Apple, Huawei, Oppo, Vivo and Xiaomi have offered high-end smartphone models equipped with AMOLED displays in 2019. These smartphone makers increasingly are promoting full-screen designs and high-quality displays in their 2019 models.
AMOLED shipments to the smartphone market are expected to total 486 million units in 2019, up 17 percent from 2018, despite a 1 percent decline in overall smartphone display shipments for the year, IHS Markit said.
All of Apple’s brand-new iPhone models in 2020 models are expected to employ AMOLEDs. Chinese smartphone makers will expand their usage of AMOLED technology from high-end to mid-range devices. Chinese AMOLED display suppliers will support this increase in demand. AMOLED shipments are forecasted to rise to 825 million units in 2023.
While the AMOLED segment is booming, the overall smartphone display market continues to struggle. The smartphone market is saturated with 4G LTE devices, resulting in poor sales results.
Total smartphone display shipments are expected to total 1.58 billion units in 2019, down 1 percent from 2018.