The Introduction Of Mini Led Substrates For Mass Transfer

- Aug 15, 2018-

After more than two years, Taiwanese professional FPC soft board manufacturer Tongtai Electronics spent a lot of research and development expenses to develop the board for Mini LED. In addition to mastering the patent rights of substrate materials, the technology of substrate flatness, alignment and thinning Both are leading the industry. At present, the key of Mini LED lies in the huge transfer yield. Tongtai Electronics released a Mini LED substrate on the 13th, which is not only suitable for huge transfer, but also claims that the customer's products reach 99.8% or more. LED chips, LED backlight modules and panel manufacturers are expected to begin mass production and shipment in the fourth quarter.

Looking forward to the future, Tongyuan CEO Li Yuanzhi pointed out that Mini LED is expected to become the mainstream trend in recent years. In OLED, it has not been able to cut into automotive, e-sports screens, high-end notebooks, etc., so it is a Mini LED niche market. In addition, the brightness, color saturation and contrast of the Mini LED are not in the performance of the OLED, and it is expected to cut into the mobile phone market. With the completion of the Mini LED development layout, Tongtai Electronics is the first wave of fermentation theme, in line with the customer's production planning, according to the customer's plan, it is expected to enter mass production and shipment in the fourth quarter of 2018, in order to strengthen the contribution of Tongtai Electronics. The overall performance will be beneficial to the profitable outlook of Tongtai Electronics.

Considered as a new generation of display technology Micro LED, it is expected to replace the already mature LCD panel, but after the key technology of Micro LED has not been broken, Mini LED has longer life, higher brightness, lower power consumption and more OLED than OLED. With a wider temperature range, Mini LED has become a very competitive new product based on its advantages. Mini LED adopts direct-lit backlight, which has smaller LED size, higher density, and more detailed area dimming. It has better contrast, brightness and color gamut than normal backlight modules and has a longer life than OLED.

In addition to the expansion of the carrier board business, Tongtai Electronics transformed the original youth plant FPC production into carrier board production in early 2016, and officially started production in August 2016. In recent years, it has carried out technology, equipment transformation and Mini LED research and development in the carrier board division. The cost investment caused a loss in the overall operation of Tongtai Electronics.

In terms of production capacity, Tongtai's current production base is located in Taiwan's Taichung Dajia Youth Factory and East Second Plant, as well as the Yangzhou Plant in Yangzhou, Jiangsu Province, China. The production capacity of the board is about 20,000 square meters, of which 10,000 square meters will be converted into Mini. The production capacity of LED and soft board is about 40,000 square meters. It is expected to expand in the fourth quarter and next March. Li Yuanzhi said that in the future, Tongtai will increase capital to expand production every year. It is expected that the fourth quarter of this year will increase the capital by 300 million yuan (NTD, the same below).

Tongtai recently announced its earnings report, with a net loss of 2.46 yuan per share in the first half of the year and a net loss of 0.92 yuan per share in the second quarter, all of which were larger than the same period last year. Tongtai said that due to the technology, equipment transformation and investment in the carrier board in recent years. Mini LED research and development, resulting in increased costs can not achieve profit, gross profit margin performance also turned negative compared with the same period last year, but this year, the demand for soft board gradually recovered, coupled with the successful entry into the Korean smart phone manufacturer supply chain, soft The board revenue can already fill the loss of the carrier board. With the Mini LED that will be mass-produced in the fourth quarter, it will strengthen the company's profitability and drive the overall performance to grow quarter by quarter.


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