Samsung is reportedly considering the purchase of LCD and OLED panels from one of its rivals, BOE. The official talks have already begun as the two tech giants explore renewed cooperation after a legal dispute. Samsung had recently won a patent infringement case against BOE. This led to restrictions on BOE OLED shipments in the US. Despite this, the relationship between the two companies seems to be improving.
Samsung considers BOE for LCD and OLED panel purchases
As per the reports, Samsung Electronics and BOE have restarted top-level discussions following months of strained relations. BOE Chairman Chen Yanshun is said to have visited Samsung offices recently. During the visit, he reportedly met key Samsung executives, including TM Roh and TV division head Yong Seok-woo. Moreover, they reportedly discussed BOE producing up to ten million LCD panels for Samsung televisions.
Samsung also discussed the proposal of purchasing BOE’s OLED panel for its smartphones. Interestingly, this development comes shortly after Samsung had won a legal battle against BOE. In this case, Samsung Display proved that BOE had used proprietary technology to develop OLED panels. The judgment also banned BOE’s panel shipments to the US. However, Samsung later settled its direct conflict with BOE.
Both companies are back together, despite a legal showdown
This is not the first time that BOE has supplied OLED panels for Samsung smartphones . It was earlier supplying panels for budget Samsung devices. However, things changed when both brands engaged in a legal battle over patent infringement. After this, BOE has continued shipping OLED panels to Chinese smartphone brands such as Huawei, OPPO, and Vivo, but not the global brands.
Further, Samsung is currently facing pressure from rising component costs, especially for displays. If the talks are successful and the brand is able to secure OLED panels from BOE at low cost, then it could benefit from reduced manufacturing expenses. BOE, on the other hand, would also gain a valuable opportunity to expand its partnership with global brands.