OLED at Goldman - 11/20/14
It was mostly review, there were a few quotes that were revealing but overall not much new. Maybe Goldman's report will have additional info.
- Sid talked a lot about Samsung moving OLED into the mid-range of mobiles and/or the merchant market.
- Highlighted that EOY 2015 LG will have total capacity equal to almost 50% of Samsung. Later stated that while LG will see a big jump in material sales in 2015, Samsung will remain the #1 customer as they still will have approx. double the capacity.
- On at least two separate occasions he referred to the future LG agreement as being either royalty-based or a fixed license like Samsung currently has. Discussed the length of a potential agreement. Stated they consider Samsung's original agreement and subsequent extension in 2011 as more of 5-year agreements, possibly signaling they are looking at duration more than end points. However, highlighted they have 4 LT lighting agreements that go for the life of their patent portfolio.
- Specifically said their green host is in the S4 and S5 and not the next gen, I took that to mean the S6. Said they believe Cheil is selling green host at cost.
- Said they are supplying green host to customers(plural) other than Samsung.
- Pointed out there are 125 LCD TV fabs worldwide and 2 OLED.
- Believes Samsung produces a high-end mobile OLED display today at a lower cost than a high end LCD. Thinks the eventual price advantage should be in the 20%-30% range.
- Only sees one patent decision in the near term, 1H2015 in Europe. Was clear they see nothing in the near or far term that will impact their ability to license their technology.
