Samsung reportedly scraps OLED plant plans; Universal Display falls

|About: Samsung Electronics Co., Ltd. (SSNLF)|By:, SA News Editor

The Nikkei reports Samsung (SSNLF) has scrapped plans to build an OLED TV plant due to yield challenges and pricing concerns. Universal Display (OLED -7.7%) shares aren't taking the news well.

Samsung, by far the world's biggest producer and (via its phone unit) consumer of OLED panels, is reportedly thinking of building a new plant to make small/mid-sized OLED panels for mobile devices. But it also likely won't release new OLED TV sets "for a while."

Samsung and LG have launched OLED sets that are thinner and lighter than LCD alternatives (owing to their lack of a backlight), and which have earned praise for their brightness and picture quality. But sky-high price tags have relegated the sets to niche status. DisplaySearch estimates only 4,400 sets were sold last year.

Sony and Panasonic called off an OLED TV JV last December.