Samsung could have closed the purchase of 4 million OLED panels to its great rival, LG
In the business world, rivalry is just a matter … well, business. When it comes to making money, it is quite common that your greatest rival is, at the same time, your provider.
The technology of the televisions that will be sold in the coming years could be turned upside down if the rumor is confirmed that Samsung would have closed an agreement to buy 4 million OLED panels from its great rival, LG.
It is news that has appeared in various Korean media, such as ETNews, O MTN, and that it has come to us via The Verge. The Korean press assures that the sources are reliable, something common since they tend to have infiltrators in the technology factories themselves.
According to this rumor, the agreement assumes that Samsung will buy one million OLED panels from LG this year, and another 3 million in 2022.
Samsung abandoned OLED technology a few years ago, opting for cheaper LCD panels, while developing a technology hybrid QLED, based on LCD but with performance close to OLED, at a lower price.
According to Korean media, the pandemic, which has increased demand, and the shortage of components, have managed to the manufacturing price of LCD panels goes up, which has made Samsung rethink the option of change LCD panels for OLED, since the difference in price is less and less.
Despite this alleged acquisition of OLED displays, Samsung is working on new panel technologies, such as MicroLED.
As we discussed in the introduction, two rivals doing business is relatively common. For example, Samsung itself is Apple’s great rival in the mobile market, but A large number of components of the iPhone or iPad, from the screen to some chips, are manufactured by Samsung.
Even so, this agreement has its morbidity because both Samsung and LG are Korean companies, and their rivalry is even fiercer than with any other company.
But in the business world, any agreement is possible, if it is beneficial for both parties.
It must be said that LG also sells OLED panels to other rivals such as Sony, Hisense or Vizio, so it is not an exception.