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Samsung Electronics Seems to Sanction Competition Between Major Divisions
April 05, 2020

In what appears to be a major breach in the relationship between Samsung Display and Samsung Mobile, both subsidiaries of Samsung Electronics, the Korea Times reported that Samsung Mobile wants to develop its own foldable display to cut costs and better meet rising global demand for its foldable series. The displays now made by Samsung Display, but the company wants to build its own production line to better meet demand. "We are reviewing the possibility of developing the display on foldable phones ourselves as demand is on the rise," a Samsung Electronics (Mobile Div.) official said. "We want to operate a multi-vendor for the foldable displays similar to that of our other smartphone production lines. We are not competing with Samsung Display, but operating a multi-vendor to meet rising demand. The Flip Z uses UTG which is only 30㎛ (micrometers) thick and is produced using an intensifying process to enhance its flexibility and durability. Dowoo Insys manufactures Ultra-Thin Glass for Samsung Display from material supplied by Schott AG. It is expected to be used in the production of future foldable electronic devices, the company said. Characteristics of UTG include:
  • Hot-formed to 70 µm with no secondary sliming
  • Strengthened with chemical/ion exchange enabling small radius, down to:
    • 10 µm thickness based on rolling speed
    • <2mm folding radius
  • Requirement for protection to reduce scratches
​
​Figure 1: UTG Characteristics
Picture
Source: DSCC

However, Samsung Mobile wants to enhance the product competitiveness using an upgraded version of the foldable glass that doubling the thickness to make it less vulnerable to impact and wrinkles reduces the cost from $40 for a single unit, which is 20 times more expensive than rigid smartphone glass.


This report by the Korea Times seems outrageous as it would create competition between two SEC units that are dependent on each other. But it is not unprecedented, two years ago Samsung Visual, independent of SDC, built a production line for Micro LED displays used in the “Wall”.
 

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