Ministry of Trade, Industry and Energy (MOTIE) is starting a preliminary feasibility study project that is worth $263 million (300 billion KRW) to develop new technologies in manufacturing OLED panels. South Korean Government is trying to support its industries to secure next-generation technologies since Chinese display industry is emerging rapidly due to support from Chinese Government.
According to an industry on the 23rd, MOTIE is planning on ‘OLED Innovation Process Development Project’ that is going to last for 7 years and worth between $175 million and $263 million (200 billion KRW and 300 billion KRW). MOTIE is going to decide on the size of this project is planning to make a request to Ministry of Strategy and Finance by end of next month.
Goal of this project is to increase production and competitive edge by increasing efficiency of OLED that is seen as the next-generation display. This project is based on a fact that center of South Korea’s display industry is shifting from LCD towards OLED. South Korean Government’s strategy is to secure leadership in technologies even in markets in the future and to distance itself from China that is rapidly closing upon South Korea in OLED industry.
South Korean Government is planning to increase capabilities of entire industries such as OLED elements, materials, equipment and others through this project and is focusing on increasing competitive edge in new display technologies such as roll-to-roll, inkjet and others. Its goal is to help not only huge corporations, but also small and medium companies to acquire IPs (Intellectual Property) in advance so that they can secure differentiated competitive edge.
South Korean Government is also thinking about establishing ‘Innovation Process Center’, which is an infrastructure for co-R&D, so that small and medium businesses can excel in new technologies. If these businesses utilize this co-infrastructure, they can reduce cost in R&D.
South Korean Government is also seeking a way to help display businesses, which are scattered among South Korea, to cooperate with regional display centers and technology parks.
South Korean display industry is being threatened by China’s aggressive pursuit. Right to lead LCD industry that is based on amorphous silicon (a-Si) is already in the hand of China. China also has almost caught onto South Korea in LTPS-based (Low-Temperature Poly-Silicon) technologies and ability of mass-production of large LCDs. China is also speeding up in its research in variety of technologies such as OLED, flexible, high resolution and others all at once. South Korean businesses are feeling a lot of pressure since not only is central government of China helping its industries, but even local governments are helping its industries.
“If South Korean display industry wants to maintain its international competitive edge, businesses as well as South Korean Government need to support R&D and implement policies that will help small and medium businesses to grow together.” said a spokesperson for this industry. “Foundation needs to be laid so that there can be many small and medium businesses that will have competitive edges in next-generation display fields.”
Staff Reporter Bae, Okjin | withok@etnews.com