Global OLED Displays Market Is Estimated to Witness High Growth Owing to Increase in Demand for Smart Devices and Rapid Penetration of 5G Technology
The Global OLED Displays Market is estimated to be valued at USD 41.23 Bn in 2024 and exhibit a CAGR of 14.2% over the forecast period 2024-2031. The global adoption rate of OLED displays has increased significantly over the past few years due to their superior features such as thinner profile, flexibility, better contrast and deeper blacks compared to traditional LCD displays. Furthermore, the boom in the smartphone market as well as proliferation of 5G technology have propelled the demand for OLED panels across various applications.
Market Dynamics:
The growth of the Global OLED Displays Market is driven by the increase in demand for innovative and bendable smartphones as well as other electronic devices. OLED panels provide for more efficient displays that can be folded or rolled up, which has led manufacturers to increasingly adopt these displays. Another major driver is the wider proliferation of 5G networks globally. 5G technology will allow for more immersive applications such as virtual/augmented reality that require higher resolution and response time displays. This is expected to significantly ramp up demand for OLED displays during the forecast period.
Market Drivers
Increasing Demand for Smartphones and Smart Wearables
One of the key drivers for the growth of the Global OLED Displays Market is the rising demand for smartphones and smart wearable devices across the world. OLED displays are increasingly being used in flagship smartphones due to their superior contrast ratio, faster response time, thinner and more flexible design compared to LCD displays. Many top smartphone brands are exclusively using OLED displays in their high-end phones to provide best-in-class viewing experience to users. Similarly, smart wearables like smartwatches are predominantly using AMOLED displays due to their ability to conform to curved surfaces and provide vibrant colors. As the demand for premium smartphones and wearables continues to rise globally, it will drive the adoption of OLED displays in the coming years.
Growing Demand for Large-Sized OLED TVs
Another major driver for the OLED displays market is the increasing popularity of large-sized OLED TVs among consumers. Traditionally, OLED TVs were limited to smaller screen sizes due to high production costs. However, with technology advancements, manufacturers have been able to successfully roll out large OLED TV screens of 65 inches and above. This has opened up the OLED TV market beyond the premium segment. Consumers are attracted to the thinness, perfect black levels and wide viewing angles provided by OLED TVs. Leading consumer electronics brands are aggressively marketing their large OLED TV lineups, further propelling the market growth.
Market Restraints
High Production Costs of OLED Panels
One of the key challenges restraining the mass adoption of OLED displays is their relatively high production costs compared to LCD technology. Factors like low manufacturing yields, small panel sizes and use of expensive materials like organic light-emitting compounds contribute to the increased costs. While costs are declining, producing OLED panels still requires greater capital expenditure and operating expenses. This makes OLED displays more expensive compared to conventional LCDs, restricting their usage to premium products. Mass production will be required to significantly bring down prices and make OLED technology more affordable for middle and low-end market segments.
Short Lifespan of Early OLED Panels
Another market restraint is the perceived short lifespan and durability issues of some early OLED panels. When OLED technology was new, some products suffered from problems like screen burn-in where static images would get permanently etched on the display. While great advancements have been made, some users still associate OLEDs with shorter screen longevity in comparison with LCD screens. Panel makers will need to effectively communicate that modern OLED displays have much improved lifespan and help overcome users' scepticism regarding durability to further accelerate widespread adoption.
Market Opportunities
Large Potential in Automotive Displays Market
One of the key growth opportunities for OLED displays lies in the automotive sector. Leading car makers are working on integrating customizable, high-resolution and frameless displays on vehicle dashboards, center consoles and inside rearview mirrors using OLED technology. Compared to LCDs, OLED displays provide design flexibility, consume less space and support driver-assist features through always-on functionality. With the automotive industry pushing for connected, autonomous and luxurious vehicles, OLED panels are well-positioned to penetrate this fast-growing market in coming years.
Increased Usage in Virtual/Augmented Reality Devices
Another market opportunity for OLED displays is in the virtual and augmented reality devices space. As VR/AR technologies become more mainstream, there will be increased focus on developing lightweight head-mounted displays with high-resolution and low-latency performance. Emerging applications around VR gaming, education and more will thrust the demand for immersive experience. Due to characteristics like thinness, wide color gamut and quick response, OLED is deemed more suitable than LCD for next-gen VR/AR wearables. This presents a huge growth avenue for OLED panel makers in the long run.
Link - https://www.coherentmarketinsights.com/market-insight/oled-displays-market-4755
Key Developments:
- In May 2024, LG Electronics, a prominent global leader in consumer electronics, introduced a new series of AI-powered smart TVs in India, featuring the world's largest OLED TV at 97 inches. These innovative TVs offer real-time upscaling, Dolby Vision gaming, and advanced sound technologies. They are also equipped with LG's webOS, which supports individual user profiles and is compatible with Dolby Vision, Dolby Atmos, Apple AirPlay, and Google Chromecast, enhancing the overall viewing experience.
- In January 2023, LG Display, a leader in display technology and innovation, introduced its third-generation OLED TV panel at CES 2023. This new panel, featuring "META Technology," offers remarkable image quality, providing visuals that are 60% brighter than standard OLED displays and viewing angles that are 30% wider.
- In January 2023, Samsung Display, a prominent manufacturer of display technologies, announced its plans to produce a 77-inch Quantum Dot OLED panel. This new panel is specifically designed for Quantum Dot OLED TVs, which will be supplied to major brands such as Samsung Electronics and Sony, as well as potentially other TV manufacturers looking to adopt this advanced technology.
- In June 2022, LG Electronics, a global leader in consumer electronics, launched the CineBeam Projector and the UltraFine Display OLED in India. These two new products aim to provide an unparalleled viewing experience, incorporating advanced technologies and a design that seamlessly blends with home interiors. The LG CineBeam HU715Q projector runs on the company's webOS platform, while the 32EP950 UltraFine OLED Pro monitor offers true 10-bit color and covers 99% of the DCI-P3 and Adobe RGB color gamuts.
Key Player:
AU Optronics, BOE Technology Group, Canon Inc., LG Display, Mitsubishi Electric Corporation, Panasonic Corporation, Samsung Display, Sharp Corporation, Sony Corporation, Sumitomo Chemical Co., Ltd., Tianma Microelectronics, Universal Display Corporation, Visionox Technology Inc., Wistron NeWeb Corporation, and JOLED Inc.
