In­no­va­tion ap­pears to be pay­ing off for BOE Tech­nol­ogy Group as it rolls out high-tech AMOLED screens Turn­ing smart­phones into smart prof­its

China Daily (Hong Kong) - - BUSINESS - By ZHANG YU and YUAN HUI in Or­dos, In­ner Mon­go­lia

Smart­phones are trans­lat­ing into smart prof­its for BOE Tech­nol­ogy Group Co Ltd.

The com­pany is a lead­ing sup­plier in semi­con­duc­tor dis­play prod­ucts, and has its head­quar­ters in Bei­jing and a man­u­fac­tur­ing base in Or­dos, North China’s In­ner Mon­go­lia au­ton­o­mous re­gion.

In the first half of this year, BOE ex­pects prof­its to reach at least 4.2 bil­lion yuan ($624 mil­lion), an in­crease of 900 per­cent com­pared with the same pe­riod in 2016.

“For two con­sec­u­tive years, we have ranked No 1 glob­ally in terms of patent ap­pli­ca­tion num­bers in the field of semi­con­duc­tor dis­plays,” Wang Dong­sheng, chair­man at BOE, said i n a ma­jor speech last year.

“Dis­plays are the hard­ware in­ter­faces of IoT (in­ter­net of things) sys­tems and thin-film sen- sors are their core data-col­lec­tion de­vices,” he added. “We will ded­i­cate our­selves to tech­no­log­i­cal in­no­va­tion and the ex­plo­ration of ap­pli­ca­tions in these ar­eas.”

With cut­ting-edge tech­nol­ogy at the heart of BOE’s busi­ness, the ma­jor­ity of the group’s pro­duc­tion lines have op­er­ated at full ca­pac­ity.

Cru­cial to this for the in­ter­net of things, com­pany has been the man­u­fac­tur­ing of smart­phone dis­play pan­els and, in par­tic­u­lar, the 5.5-gen­er­a­tion LTPSLCD/ AMOLED prod­ucts.

This is a low tem­per­a­ture polysil­i­con liq­uid crys­tal dis­play and ac­tive ma­trix or­ganic light emit­ting diode unit.

The LTPSLCD/AMOLED plants churn out flex­i­ble screens for high-end smart­phones, tablets and wear­ables. Ex­tremely pli­able with sharp col­ors, the dis­play units are trans­form­ing the mo­bile sec­tor.

For BOE, the de­ci­sion to in­vest 22 bil­lion yuan on a line which can pro­duce 8 mil­lion smart­phone screens a month has paid off.

Launched in 2013, the pro­duc­tion fa­cil­ity in Or­dos was the first of its kind in China. It was also only the sec­ond such fa­cil­ity in the world to man­u­fac­ture up-to-date small and medium-sized LTPS and AMOLED prod­ucts, ac­cord­ing to the com­pany.

Or­dos Yuan­sheng Op­to­elec­tron­ics Co Ltd, a sub­sidiary of BOE, runs the op­er­a­tion in In­ner Mon­go­lia, and its clients in­clude ma­jor global and do­mes­tic smart­phone mak­ers.

Ac­cord­ing to mar­ket data, BOE’s global mar­ket share of TFTLCD pan­els for mo­bile phone, tablet and note­book ranked No 1 in the first half of this year, and that of its pan­els for mon­i­tors and TVs were No 2.

In 2016, BOE’s yearly new-patent ap­pli­ca­tions amounted to 7,570, 80% of which are in­ven­tion patents. In the first half of 2017, BOE’s new-patent ap­pli­ca­tions ex­ceeded 4,000. In to­tal, BOE has over 55,000 us­able patents, rank­ing among the top of the in­dus­try.

BOE pro­duc­tion lines and man­u­fac­tur­ing fac­to­ries run with a highly-au­to­mated smart op­er­a­tion sys­tem. At present, BOE has 11 pro­duc­tion lines (two un­der con­struc­tion), in­clud­ing the world’s big­gest pro­duc­tion line in He­fei, cap­i­tal of East China’s An­hui prov­ince, and two 6 th gen­er­a­tion flex­i­ble AMOLED pro­duc­tion lines in Chengdu and Mianyang in South­west China’s Sichuan prov­ince.

This is part of the com­pany’s com­mit­ment to in­no­va­tion, and the na­tion’s in­dus­trial strat­egy to move from “Made in China” to “Cre­ated in China”.

Con­tact the writer at zhangyu1@chi­nadaily.com.cn

PRO­VIDED TO CHINA DAILY

Tech staff check man­u­fac­tur­ing equip­ment at BOE’s pro­duc­tion base in Or­dos, North China’s In­ner Mon­go­lia au­ton­o­mous re­gion.

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