Samsung visited China to strengthen ties with BOE
South Korean tech giant Samsung has taken a significant step to diversify its supply chain for product components and strengthen ties with Chinese display manufacturers, as reported by Zamin.uz.
Te Mun Ro, head of Samsung's DX division, visited China on an official trip, which is expected to mark a turning point in the company's strategy for supplying displays for future televisions and smartphones.
The delegation led by Te Mun Ro first visited BOE's B16 production line in Chengdu, a facility that had recently begun mass production of eighth-generation OLED panels designed for laptops and other gadgets.
Samsung's leadership familiarized themselves with these technological processes and discussed prospects for future cooperation with BOE's management. Notably, the delegation primarily included representatives from Samsung's Visual Display division, while mobile division heads did not participate in the visit.
This suggests that Samsung is currently prioritizing the supply of display panels for televisions, although Te Mun Ro also oversees the mobile division, leaving open the possibility that BOE may offer its new OLED technologies for the smartphone segment as well.
On the second day of the visit, Samsung's leadership is scheduled to meet with representatives of TCL Corporation and its subsidiary, China Star Optoelectronics Technology (CSOT). CSOT is currently one of Samsung's largest partners in supplying LCD panels for its televisions.
The talks will cover not only display supply but also contract manufacturing arrangements. Additionally, collaboration on the development of Samsung's Tizen operating system is expected to be discussed as part of the agenda.
This indicates Samsung's aim to expand the presence of its software ecosystem among manufacturers in the Chinese market. Furthermore, a meeting with CVTE, a manufacturer of mainboards for televisions, is also anticipated.
Currently, BOE supplies OLED panels for Samsung-branded mid-range smartphones and certain Galaxy Watch models. If these negotiations are successful, high-quality panels produced in China could see broader use in Samsung's flagship devices.
This could contribute to increased market competition and a reduction in final product prices. Experts believe that Samsung's closer engagement with Chinese display manufacturers is a strategic move aimed at diversifying its global supply chain.
By maintaining ties with local partners such as Samsung Display and LG Display while increasing reliance on Chinese sources, Samsung can optimize costs and reduce delivery risks. At the same time, for Chinese manufacturers, working with a global brand like Samsung offers an opportunity to validate product quality and expand technological capabilities.
