OLED targets LCD as well… Samsung and LG accelerate push into China’s stronghold

Samsung Electronics and LG Electronics are accelerating expansion of LCD (liquid crystal display) TV shipments following their OLED (organic light-emitting diode) TV efforts. The two companies are strengthening their premium product lines in the LCD TV market, where Chinese manufacturers have been expanding their influence. With rising memory semiconductor prices increasing cost burdens for mid-sized and low-end TV makers, some analysts see this as an opportunity for domestic firms to expand their market share.

According to market research firm TrendForce on the 25th, Samsung Electronics shipped 17.6 million TVs in the first half of this year, a 6.3% increase compared to the same period last year. LG Electronics also shipped 11.3 million units during the same period, up 3.9%.

Notably, the growth in LCD TV shipments was particularly pronounced. Samsung Electronics’ mini LED TV shipments increased by more than 200% over the past year. TrendForce forecasts that LG Electronics’ mini LED TV shipments will also more than triple compared to last year. Mini LED TVs are premium LCD models that use smaller LEDs as backlights (light sources) to improve picture quality, including brightness and contrast ratio, compared to conventional LCD TVs.

Both companies have further segmented their LCD TV lineups this year. A representative product is the 'micro RGB LED TV,' which uses RGB (red, green, blue) LEDs with sizes of 100 micrometers or less as light sources. This model significantly reduces the light source size compared to the RGB LEDs (100–200 micrometers) previously used by Chinese manufacturers. While OLED TVs lead in overall picture quality, color reproduction performance is considered comparable.

Samsung Electronics first introduced the world’s 115-inch 'micro RGB TV' in August last year and has since expanded its lineup to include 65-, 75-, 85-, 100-, and 130-inch models this year. LG Electronics also launched the 'LG Micro RGB Evo' featuring micro RGB LED technology in March this year. The LG Micro RGB Evo has obtained 'Triple 100% Color Certification,' meeting broadcast standards, digital cinema standards, and photo/graphic standards.

The expansion of LCD TV shipments by Samsung Electronics and LG Electronics is seen as a strategy to strengthen market influence centered on premium product lines. Chinese manufacturers such as TCL and Hisense have been expanding their foothold in the LCD market by promoting mini LED TVs. In the first quarter this year, the combined market share of Chinese brands including TCL, Hisense, and Xiaomi for mini LED TVs reached 54%.

Samsung Electronics and LG Electronics plan to increase mini LED shipments while strengthening product lines featuring advanced technologies such as micro RGB, aiming to expand their influence in the premium LCD market. TrendForce stated, "We are revising up the global forecast for RGB LED TV shipments this year to 17 million units," adding, "It could potentially approach 20 million units."

The OLED TV market is already dominated by domestic companies. According to market research firm Omdia, in the first half of this year, LG Electronics and Samsung Electronics held market shares of 49.1% and 37.9%, respectively, in the global OLED TV market. Their combined share reached 87%.

The deepening polarization in the TV industry due to rising memory prices is also seen as an opportunity for Samsung Electronics and LG Electronics. While mid-sized and low-end manufacturers face increasing cost burdens, large companies have relatively greater capacity to respond to price hikes based on their large-scale procurement capabilities. An industry official stated, "While the impact of memory price increases on TV businesses is limited overall," noting that "as cost pressures mount for mid-sized and low-end makers, this creates a more favorable environment for large companies with stronger cost response capabilities."