Samsung and LG have reportedly signed a pretty important deal that will have LG supply OLED panels to Samsung. According to reports originating from South Korea, LG will be supplying a million large OLED panels to Samsung in 2021 and some four million units in 2022. It seems that the deal could very well be in the final stage and become official as soon as possible.
The two historical rivals have their own daughter companies that produce OLED screens, Samsung Display and LG Display, but Samsung has been trying to diversify its supply for a while now, even considering Chinese-made OLED panels for entry-level Galaxy M smartphones. On top of that, Samsung has reportedly had production yield issues with its QuantumDot displays, so the cooperation with LG was deemed necessary.
LG recently announced that it will be exiting the smartphone market due to unprofitability, which came somewhat out of the blue given that the South Korean company has been the third largest smartphone manufacturer operating on the lucrative US market.As a reminder,
So far, the deal seemingly doesn't include smartphone displays, but who knows how things might change in the future seeing that Samsung is open to using other companies' display panels on some of its entry-level and mid-range devices in select regions.