OLED TVs are about to drop in price

The cost of producing OLED panels is falling sharply. Photo: Bloomberg .

The cost of manufacturing large-size OLED screens is falling rapidly, opening up the opportunity to compete directly with LCD TVs in the coming years.

According to industry sources, the cost of producing LG Display's 65-inch OLED panel has nearly halved in five years. In 2020, the price was around $1,000 . By 2023, it had fallen to $600 and is expected to fall below $500 by the end of this year. The downward trend is expected to continue in 2026.

This change is linked to LG Display's push to expand its production lines and optimize costs. Factories in Paju (Korea) and Guangzhou (China) play a key role. In Guangzhou in particular, 2/3 of the investment costs have been amortized, helping to significantly reduce the production cost of each panel.

LG Display has focused on increasing capacity and stabilizing output over the past two to three years to shift its revenue structure to OLED, an industry official told Biz Chosun . The effort has been paying off since last year, helping to reduce costs by 30% compared to 2023. The company also aims to further reduce costs in 2026 through design improvements and changes to the display driver chip (DDI) structure, the company said.

While the decline may not be reflected directly in prices, as LG Display is still struggling with profits, the large-size OLED TV market has seen positive signs. Prices for some 77-inch and 83-inch models have cooled significantly this year compared to before.

Notably, the cost of manufacturing OLED panels is now approaching, or even potentially lower than, LCD panels using RGB LED backlight technology. An industry source said that the cost of LED chips alone accounts for the majority of the cost of this type of panel. When including the backlight system and driver, the estimated production cost is around 400-600 USD , equal to or even higher than OLED panels.

Source: https://znews.vn/tv-oled-sap-giam-gia-manh-post1590173.html