According to the analysis of industry information of CINNO Research, an independent third-party professional industry consulting service platform, Huaxing Optoelectronics (CSOT), a subsidiary of TCL Technology (000100), will supply 2.2 million mobile phone OLED screens to Samsung Electronics this year, and Shenzhen Tianma (000050) and Visionox (002387) will supply about 1 million each.

Mizuho Group, Japan's second-largest financial institution, also mentioned this in a report released at the end of last month.

Tianma and Visionox are expected to supply 1 million each

This year, Samsung's demand for smartphone OLED screens is expected to be 163.2 million. Among them, Samsung Display will supply 159 million units (accounting for 97%), which is in an absolute dominant position, followed by Huaxing Optoelectronics with 2.2 million units, while Tianma and Visionox are expected to supply about 1 million units each.

Although it is not clearly stated in Mizuho's data, according to industry sources, the OLED screens supplied by Tianma will be used in joint venture brand (JDM) smartphones produced by Samsung Electronics through a Chinese company. In the past, Tianma has supplied OLED screens for Samsung Electronics' Galaxy M series of low-cost smartphones.

According to previous reports, in 2022, Samsung estimates that it will purchase 6.5 million smartphone OLED panels from BOE (000725) and Huaxing Optoelectronics, including 3.5 million from BOE and 3 million from Huaxing Optoelectronics.

According to the analysis, Tianma and Visionox's respective supply increased to 1 million units this year because BOE (BOE) withdrew from the supply chain. In 2022, the number of smartphone OLEDs supplied by BOE to Samsung Electronics was 1.1 million units, but it was reduced to 600,000 units in 2023, and there is no supply this year. BOE's relationship with Samsung Electronics and Samsung Display has been particularly strained lately. At the same time, the amount of LCD panels for TVs supplied by BOE to Samsung Electronics has also decreased.

BOE outside the embankment loss of the embankment inside the embankment

This year, Apple's iPhone OLED supply is expected to reach 227 million units. By panel manufacturer, the largest supply is Samsung Display (120 million units), followed by LG Display (62 million units) and BOE (45 million units).

In 2023, the supply of OLED screens for iPhones will be 249 million. By panel manufacturer, Samsung Display supplied 151 million copies, LG Display supplied 55 million copies, and BOE supplied 43 million copies. Compared to last year, this year's forecasts show that Samsung Display's supply (151 million →120 million) is expected to decline, while LG Display's supply (55 million →62 million) and BOE's supply (43 million →45 million) are expected to increase.

Among Chinese smartphone manufacturers, Huawei's demand for smartphone OLED screens has jumped sharply. It is expected that the supply of Huawei smartphone OLED screens will increase by 81% from 33.7 million last year to 61 million this year. Huawei's smartphone business shrank significantly in 2019 but has been recovering since last year. Before the U.S. sanctions, Huawei was on par with Apple, Samsung Electronics and other companies in the global high-end smartphone market.

In Huawei's supply of smartphone OLED screens this year, BOE has the most, with 31 million. It was followed by Visionox with 22 million, TCL Huaxing with 6 million and Hui Optoelectronics with 2 million.

Xiaomi's demand for smartphone OLED screens this year is 63 million, slightly higher than last year's 60.5 million. From the perspective of panel suppliers, CSOT has the largest supply of 28 million sheets. This is followed by Samsung Display with 18 million, followed by Tianma with 13 million and Visionox with 4 million.

It is estimated that the demand for OLED screens for smartphones in oppo, vivo and Honor this year will be 49.5 million, 44.5 million and 41.5 million respectively, all of which will increase year-on-year.

Domestic OLED quickly catches up

Global smartphone OLED screen shipments this year are forecast to be 753.2 million, nearly 100 million more than last year (653.3 million). Last year, the penetration rate of OLED in the smartphone market increased due to the low-price offensive of companies such as Tianma.

From the perspective of the supply of panel manufacturers, Samsung displays the most, with 327 million pieces. Its customers include Samsung Electronics, Apple, Xiaomi, OPPO, vivo, Google, and Sony. LG's 62 million supply is all for Apple.

Among China's panel manufacturers, BOE is 137 million, Visionox is 80 million, TCL Huaxing is 62.7 million, Tianma is 57 million, and Hehui Optoelectronics (688538) is 22 million. The total supply of OLED screens by Chinese panel manufacturers will reach 358.7 million, accounting for 48% of the global smartphone OLED screen shipment forecast (753.2 million) this year.

In 2023, Samsung's market share of small and medium-sized panels (9.0 inches and below) will be 43%, falling below 50% for the first time. BOE ranked second, with market share growth increasing from 12% in 2022 to 15%, ranking second. Visionox, Tianma, Hehui Optoelectronics and Huaxing Optoelectronics have market shares of 9%, 8%, 6% and 5% respectively. LG Display ranked third with a market share of 10%. Domestic OLED shipments have increased significantly, seizing many markets for Samsung and LG. Chinese manufacturers have a combined market share of 43%. The market share gap between Chinese and South Korean panel makers has narrowed to just 10 percentage points.

In 2024, the gap between domestic small-size OLED and Korean manufacturers will quickly narrow to only 2 percentage points.

According to a report released by CINNO Research, in the field of OLED panels for smartphones, Chinese manufacturers accounted for 51% of shipments in the first quarter, surpassing South Korea for the first time. In the first half of 2024, Chinese display companies accounted for 50.7% of global smartphone OLED display shipments, an increase of 10.1 percentage points from 40.6% in the first half of 2023. China will occupy the first position in the world in the OLED market in 2024.

In addition, Omdia data also shows that in the first half of 2024, China's foldable OLED shipments are expected to reach 6.4 million units, surpassing Samsung Display's 5.7 million units.

However, South Korea's market share and shipments in the OLED panel segment are strong in different segments, especially in the high-end OLED products and small-size OLED market.

According to market research firm Omdia, South Korea has an average market share of 91.7 percent in the five high-end OLED product categories of smartphones, tablets, laptops, TVs and displays, compared to 8.3 percent in China. This huge gap highlights that Korean companies still have technological and production advantages in the OLED field.