77” QD/OLED soon?
Samsung Electronics (005930.KS) is expected to add a 77” model to its current QD/OLED TV models as it continues to improve yield at its first QD/OLED fab in Korea. We expect Samsung to show the new size to potential customers at CES in January, and possibly make an announcement to the general public about its availability. Samsung was particularly low-key when it introduced the initial QD/OLED sets in January of this year, likely due to the low yields that affiliate Samsung Display (pvt) had been seeing during the early days of production, and while the intro of this new size might see a bit more enthusiasm from the company, SDC’s capacity is still limited to one fab, which does not support Samsung’s need for higher volumes that would allow QD/OLED to become a substantial part of the Samsung TV set line.
That said, we expect that the decision regarding potential QD/OLED capacity expansion will be made soon, and while the TV set business is facing the same economic wet blanket that is covering much of the CE space, the ultra-large TV space, where the 77” model would fall, continues to show y/y growth. While the commitment to additional capacity during a weak CE cycle is a risky one, Samsung Display has made such bets before, and while the decision could be postponed for a quarter or so as the global economy struggles with inflation, we expect SDC will convert existing but idle capacity to QD/OLED in 2023, .
Samsung needs a large panel OLED TV offering to compete against LG Electronics (066570.KS), and while Samsung has considerable offerings that are LCD, Quantum dot enhanced LCD, and Mini-LED/QD, the progress on Micro-LED commercialization is still out of the price range of rank and file TV buyers. Samsung has priced its QD/OLED sets well, and we would expect the 77” model to be priced ~$3,000 initially, but expect the more steady-state price range to be between $2,500 and $2,700 90+ days after the release, making it a viable competitor to LG’s “C Series” OLED TV. Samsung seems to be warming up to considering the QD/OLED line as a meaningful part of its overall TV line, but until a capacity expansion decision is made, we expect the Mini-LED/QD line will be the promotional favorite heading into next year.
That said, we expect that the decision regarding potential QD/OLED capacity expansion will be made soon, and while the TV set business is facing the same economic wet blanket that is covering much of the CE space, the ultra-large TV space, where the 77” model would fall, continues to show y/y growth. While the commitment to additional capacity during a weak CE cycle is a risky one, Samsung Display has made such bets before, and while the decision could be postponed for a quarter or so as the global economy struggles with inflation, we expect SDC will convert existing but idle capacity to QD/OLED in 2023, .
Samsung needs a large panel OLED TV offering to compete against LG Electronics (066570.KS), and while Samsung has considerable offerings that are LCD, Quantum dot enhanced LCD, and Mini-LED/QD, the progress on Micro-LED commercialization is still out of the price range of rank and file TV buyers. Samsung has priced its QD/OLED sets well, and we would expect the 77” model to be priced ~$3,000 initially, but expect the more steady-state price range to be between $2,500 and $2,700 90+ days after the release, making it a viable competitor to LG’s “C Series” OLED TV. Samsung seems to be warming up to considering the QD/OLED line as a meaningful part of its overall TV line, but until a capacity expansion decision is made, we expect the Mini-LED/QD line will be the promotional favorite heading into next year.
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