Yesterday we quoted a report from Korea Times claiming that LG Electronics' OLED TV sales are lower than expected. Today another Korean publication (ETNews) runs the same story with some more details.
According to ETNews, LG Display reduced its OLED TV panel 2015 production projection to 500,000 units (down from 600,000). The main reason is that LG is seeing sluggish sales of Full-HD OLED TVs, as it faces a tough battle from Quantum-Dots enhanced LCDs.
LG's 4K OLEDs are more attractive and offer clear advantages over QD LCDs, but while LGD's Full-HD OLED yields are excellent (matching those of FHD LCDs), its UHD (4K) yields are lower than expected. As the company moves to 4K production, its production capacity drops.
According to ETNews, LGD still waits for yields to increase to 70-80% before it starts its next production expansion project. If this is true, it may mean a delay in LG's original plan to increase its M2 production line capacity from 14,000 monthly substrates (its current capacity) to 34,000 monthly substrates.
Of course this is not confirmed yet. Earlier this month CNet quoted an LGD official saying that LGD cannot meet the demand for OLED TVs, and they "cannot build OLED TVs fast enough".