LG will invest billions in OLED display production over the next few years, starting with plans for a large panel plant in Korea, which could produce screens for new iPhones.
The so-called P10 factory—which is being built in Paju, Gyeonggi Province—will take about two years to complete, but will specialize in large-size OLED TV panels and flexible OLED panels for smartwatches and automotive displays. The $8.7 billion investment is expected to be the size of 14 football fields and about 328 feet high.
"LG Display's investment in P10 Plant is a historical investment for the industry since it will not only help expand the OLED market but also accelerate the development of future display technologies. With the active support of the Korean government, we believe the P10 plant will become the center of the global OLED industry," Dr. Sang Beom Han, CEO and President of LG Display, said in a statement.
Earlier this week, Nikkei reported that Apple would adopt OLED displays for its iPhones in 2018, and that LG was planning "capacity upgrades" in response. Supply constraints, however, might mean that Apple will offer OLED and LED iPhone models at first, the report suggested.
Apple has not made any announcements. Its plan to adopt sapphire screens for its smartphones fizzled last year.
LG, meanwhile, will also invest almost $1 billion in a sixth-generation flexible OLED production line in Gumi, Gyeongsangbuk Province, which can produce 7,500 sheets per month and is expected to start mass production in the first half of 2017.