Samsung starts early on its newest mass production line of LCDs
South Korean tech giant Samsung Electronics is on a high. The company already dominates the worldâ€™s flash memory market and they are also the world leaders in the production of flat screens. Samsung aims to capitalize on this advantage with their latest manufacturing line where they are scheduled to begin production today. Impressively, they are ahead of their original schedule to produce the LCD panels on their second “seventh-generation” line by three months!
This would give them an advantage to compete with their closest rivals in the market LG.Philips who are also scheduled to start production at their new production line sometime this year. However, the market analysts have some fears over these new production lines, as they believe that this would lead to surplus stocks of LCD panels in 2006 leading to massive falls in prices.
This might end up hurting the companies in the end considering the massive cost of Research and Development would be hard to recover if the prices fall down considerably too soon. Samsung’s new production line, Line 7-2 would be producing 45,000 substrates. Each of these could be used to manufacture eight 40-inch panels per month. The plan is to further boost this production to line’s full capacity of 90,000 substrates per month in the coming months.
Samsung is already running the first line of producing the LCD panels along with Sony, which manufactures close to 60,000 substrates per month.