According to recent reports, many Chinese OEMs are considering cooperating with Japanese display company JDI (Japan Display Inc) to produce OLED panels. China Fund has a capital partnership with JDI. It revealed that JDI is preparing to mass-produce OLED panels for smartphones and other devices. Many Chinese OEMs are interested in cooperation. However, China Fund did not disclose the names of the manufacturers.
Earlier, JDI said that it has signed a contract for receiving 80 billion yen (∼$754 million) from China Fund. Previously, JDI had received a $100 million investment from a customer. e speculations that the customer is Apple. In the last fiscal year ending March, Apple accounted for 60.6% of Japan’s display revenue. In JDI’s 2018 fiscal year (as of March 31, 2019), the consolidated earnings report showed a loss of 109.4 billion yen (∼$1 billion). It also shows a loss for five consecutive years.
JDI faces a tough operating environment as smartphone manufacturers turn to organic light-emitting diode (OLED) panels. In addition, there is also an increase in LCD panel makers in mainland China. JDI missed many Apple orders because of the slow pace of its OLED panels. JDI hopes to obtain external investment and plans to invest the funds in Japan’s domestic factories to expand its OLED panel production capacity.