SEOUL, Feb. 20 (UPI) -- South Korean electronics giant Samsung said it would spin off its liquid-crystal display business as it sought to embrace power-thrifty OLED technology.
In a regulatory filing, Samsung said it would likely merge the new firm, Samsung Display Co., with one of its affiliates, such as Samsung Mobile Display, The Wall Street Journal reported Monday.
"There's no reason for Samsung to pour in more investment into its LCD business, and it would rather focus on raising its OLED technology," said HI Investment & Securities analyst Song Myung-sub.
"With the industry's LCD supply shrinking overall, some Korean players will see a turnaround from the businesses from the third quarter of this year," the analyst said.
OLED involves organic light-emitting diodes that give a clearer picture and requires less power than LCD screens, the Journal reported.
Samsung said it would hold all the shares of Samsung Display Co.
Samsung Mobile Display is a joint venture between Samsung Electronics and Samsung SDI Co. That entity presently has little competition in the OLED market as it commands a 95 percent share.
