By Kat Asharya | Tue Sep 07, 2010 12:21 pm |
Samsung will sharply increase production of its ultra-thin smartphone screens when its new facility opens in July, highlighting the growing demand of high-end smartphones.
The unit that makes the LCDs, a joint venture between Samsung Electronics and Samsung SDI, said production capacity will rise to 30 million screens a month, up from the current three million.
"We've put in a great deal of effort to move up mass production," said Lee Woo-Jong, Samsung Mobile Display's vice president of marketing.
A shortage of ultra-thin screens has limited production of many popular handsets, including shortages of the HTC Droid Incredible for Verizon and HTC Evo 4G for Sprint. Both devices use Samsung's active-matrix organic light-emitting diode, or AMOLED, displays, which are offer brighter imaging and less power consumption over most screens on the market.
The advantages highlight the increasing demand -- and subsequent shortage in parts -- causing many handset makers, including HTC, to switch to rival technologies, such as Sony's Super LCD.
But Samsung doesn't expect the limitations to dampen interest for its screens. The company predicts the number of devices using AMOLED screens to surge by 35 times to 700 million units by 2015.
Samsung is spending up to $2.1 billion to set up a production facility to manufacture 3.0-inch panels used for mobile phones. Many manufacturers are using AMOLED panels for their phones, including its parent company, which makes the popular Galaxy S smartphone.
But Lee said that the Galaxy S will not get priority over other companies' products, and that the shortage has affected everyone equally.
Either way, Samsung's increased production will come as good news for consumers lining up for popular smartphones that use ultra-thin screen displays.
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