K-Display Dominating Car OLED Market with 93% Share

As the transition from Liquid Crystal Displays (LCD) to Organic Light Emitting Diodes (OLED) in vehicle displays is expected to take place, K-Display, holding over 90% market share, has solidified its position, while Chinese competitors are engaging in pursuit.

According to industry sources on Aug. 9, market research firm Omdia recently revised this year's global shipment forecast for automotive OLED display panels from 890,000 units to 1.14 million and then again to 1.48 million. Omdia predicts that the automotive OLED panel shipment will grow by an annual average of 45% to reach 5 million units by 2026 and exceed 9 million by 2027.

According to the display industry, automotive displays were 97.2% LCD as of last year, with OLED accounting for only 2.8%. However, it is predicted that the proportion of OLEDs will gradually expand to 17.2% by 2027.

With the spread of autonomous driving and the enhancement of entertainment functions, displays installed in vehicles are gradually becoming larger and of higher resolution. Accordingly, car manufacturers are adopting OLEDs, primarily in premium lines. Hyundai Motors plans to apply 24-27 inch OLED panels in Genesis cars releasing in 2024. Porsche also intends to adopt 12-14 inch OLED panels for 2024 models.

Currently, the combined domestic market share for automotive OLEDs is 92.7%, categorized as K-Display’s "dominance." According to Omdia, last year’s automotive OLED market share was 50% for LG Display and 42.7% for Samsung Display.

LG Display has led the automotive OLED market since 2019, being the first in the industry to mass-produce them. It is expected that LG Display’s order backlog for automotive OLED panels will reach 20 trillion won this year. With the expansion of the electric vehicle market, LG Display expects to turn a profit in the automotive sector due to increased demand for Plastic-OLED, the only kind it is currently producing.

Latecomer Samsung Display has been boosting its presence, securing customers including Hyundai, Ferrari, BMW, Audi, and other global car manufacturers.

Meanwhile, some point out that the competition in the automotive OLED market may intensify in the long run as China expands its investments in automotive OLEDs. With no market share in 2021, China abruptly expanded its share to 7.1% last year.