Samsung is the world leader in LCD screen production. Problem is, not even they can make any damn money at it, which is why they’re spinning off their LCD division into a new company. Here’s the story:
Citing a “structural change” underway in the display business, which the company believes is transitioning to OLED screens, Samsung’s board of directors approved the spin-off of its LCD business, allowing it to potentially merge with Samsung Mobile Display. The new company will be known by the tentative name Samsung Display Co., Ltd.
Samsung’s board of directors believes the spin-off will allow the LCD business to be more competitive going forward. Some companies, like Apple, have been reluctant to buy components like screens from Samsung, as the company also makes smartphones and tablets to compete with its own products in addition to manufacturing components.
That’s a big bet on OLED screens, which always seem to be tomorrow’s Next Big Thing.