LG Display is moving forward with equipment investment for its Gen 6 OLED thin-film transistor (TFT) process, part of the 1.106 trillion won new-technology infrastructure investment the company announced back in April. Following its earlier commitment to deposition equipment, the company is now securing TFT equipment as well, a move expected to result in a production line capable of handling both R&D and eventual mass production.
According to industry sources on July 14, LG Display will begin reviewing its Gen 6 OLED TFT equipment investment for its Paju plant as early as the end of this month.
“This is part of the new-technology infrastructure investment being built into the Paju AP5 line,” said an industry insider familiar with the matter. “Reviews will proceed sequentially for TFT equipment including sputtering, chemical vapor deposition (CVD), and heat-treatment systems.”
Industry watchers expect Avaco to supply the sputtering equipment, Jusung Engineering to handle CVD, and Viatron to provide heat-treatment equipment such as furnaces--all existing suppliers within LG Display's equipment supply chain.
This equipment falls under the broader 1.106 trillion won OLED infrastructure investment, which LG Display has described as targeting “new OLED technology infrastructure” with the stated goal of “strengthening technological competitiveness and growth foundations through OLED technology advancement.”
The investment is reportedly driven by a mix of factors, including the development of new technologies such as four-sided bending displays and LTPO+ (low-temperature polycrystalline oxide plus), as well as a longer-term push to expand mobile OLED production capacity.
As part of this effort, LG Display selected Sunic System to supply its Gen 6 deposition equipment and Avaco to supply vacuum logistics equipment back in May, placing orders for both.
The latest move to secure TFT process equipment suggests the company is now working to build a production line capable of handling the full display manufacturing process, not just deposition.
TFT equipment investment is essential if LG Display wants to build a line capable of eventual panel mass production. Display manufacturing broadly consists of four stages--TFT, deposition, encapsulation, and module--and while deposition is a core process, it alone doesn't provide the capacity needed to produce finished panels.
“The company ordered deposition equipment first because it has a longer lead time, and is now following up with TFT equipment, which typically has a shorter lead time,” explained one display industry source.
An LG Display representative declined to confirm whether the investment review is taking place this month, saying only, “We can't confirm that.”
