Kopin Signs with OLiGHTEK and BOE to Manufacture OLED Micro Displays
April 10, 2017
Kopin, whose business plan calls for the outsourcing of both the backplane and the frontplane for OLED Microdisplays, signed an agreement with Yunnan OLiGHTEK Opto-electronics Technology Co. Ltd. a supplier of OLED micro-displays on silicon. The parties will jointly purchase a production OLED deposition line to be installed within OLiGHTEK’s facility in order to augment OLiGHTEK’s existing capabilities. This OLED deposition line is expected to be ready for volume production by the end of 2017, Under the terms of the agreement, Kopin will be entitled to 50% of the new line output. Kopin has also entered into a separate agreement with BOE Technology Group Co. Ltd. and OLiGHTEK. The agreement will establish a high-volume, state of the art facility to manufacture OLED micro-displays to support the growing AR and VR markets. The new facility, which would be the world’s largest OLED-on-silicon manufacturing center, will be managed by BOE and is expected to be built in Kunming, Yunnan Province, China. BOE will invest $111m to form a JV to develop micro-OLED displays for use in AR/VR and similar applications with two Chinese partners, including a $7.25m share purchase, with a total project cost of ~$177m when completed. The framework agreements need to be approved by the company's Board before it can take effect, Beijing East Technology Group Corporation and Yunnan North Aured photoelectric Technology Corporation and Gaoping technology (Shenzhen) Limited signed the investment cooperation framework agreement.
Figure 1: Gear VR vs. Kopin VR Glasses