Samsung Elec expects "good news" on M&A deal, may use LG panels

[Source: Samsung Electronics Co.]

Samsung Electronics Co. will soon share “good news” on M&A deals it has been working on and can tap its local panel rival LG Display for supplies for its new OLED hybrid QD OLED, according to its top chief on devices.

“The company is looking into various M&As options in both components and finished products,” said Han Jong-hee, vice chairman and Device eXperience (DX) division chief of Samsung Electronics in a press meeting on Thursday, the opening day of Consumer Electronics Show (CES) in Las Vegas, the U.S.

“We don’t know what will be completed first. But we are on it faster than you think. We expect goods news soon,” Han said without betraying any details.

Samsung Electronics however is not going after complete mobility business like Sony, which during the CES event announced inroads to EVs.

The company has been strengthening automotive parts business upon acquiring Harman in 2017, but it has yet to decide whether to begin car business, Han added.

[Source: Samsung Electronics Co.]

Still, auto components is an area the company is paying great attention. Samsung Electronics at its CES exhibition booth set up a section on future car, presenting ideas on in-car system of monitoring driver’s health condition to self-driving car’s traveling routes.

At the CES 2022, Samsung Electronics was expected to introduce the quantum dot (QD) OLED TV, its latest addition to premium TV lines, but the showcase was limited to only a select group of clients and media.

The market introduction on QD OLED TV will be made after it secures enough panels, said Han, adding that Samsung Display has begun mass production but not up to capacity.

Han also hinted of collaborating with LG Display for OLED panels, saying that the company previously had purchased TV panels when it had been short. It has all options open for securing panels.

He, however, stressed the company’s strategy for TV is still primarily centered on micro-LED and LCD-based QLED. It is grooming micro-LED as the highest-end TV, followed by Neo QLED and QD OLED.

[Source: Samsung Electronics Co.]

Micro-LED TV production has been behind the schedule due to the Covid-19 situation, but the company will be able to roll out enough in the market from May after Vietnam plant ends ramp-up and new factories in Mexico and Slovakia begin operation, said Han.

He projected the micro-LED TV would become more affordable, as the company has cut the production cost to one-fourth of the first model. The premium TV currently costs more than 100,000 won ($83,000).

Samsung Electronics also plans to roll out the premium Bespoke edition of white goods to 50 or more countries this year. It has released Bespoke lines in 41 markets since launch in May last year.

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