Chinese technology company TCL, LG screenThe aim is to strike a $1.5 billion deal to acquire a significant portion of LGD’s Chinese operations.

subsidiary of TCL TCL China Star Optoelectronics Technology80% stake in LG Display (China) and LG Display (Guangzhou). Plans to buy 100% of it. The midpoint of the deal is 8.5 in Guangzhou. The next generation factory has the capacity to produce large LCD panels. The factory is expected to produce approximately 14 million units in 2024, and most of this production will focus on television screens of 55 inches and larger.

TCL’s strategy to move from LCD to OLED

By acquiring these assets, TCL CSOT aims to increase its production capacity and become a more effective player in the large LCD panel market. Company becomes more profitable by moving away from LCD market to OLED aims to direct. LGD, to OLED technology It seems that allocating more resources will increase competition in the premium display segment.

Moreover LG screenIt will contribute to achieving future growth objectives by stabilizing the financial situation of. However, this aggressive expansion of TCL may pose some challenges that overlap with LG Display’s existing customer base.