Samsung Electronics has decided to postpone its plans to shut its LCD business to March 2021. The company had been planning to shut down its business for a while now, with plans to end operations by year end.
The reason for the delay in shutting down its LCD operations is to continue production at its L8 fab in the Asan plant for at least the next three months. According to an AndroidHeadlines report, the primary reason for the delay in shut down is due to the rise in demand for LCD panels caused by the ongoing Coronavirus pandemic. With various governments enforcing work from home policies and staying indoors has become encouraged, entertainment, workloads, and more has shifted to homes.
Thus, the South Korean tech giant has reportedly informed all related firms regarding its change of plans due to recent developments. For those unaware, Samsung has been producing LCD panels at its Asan Plant in its home country and its Suzhou plant in China. The company has already struck a deal with CSOT (China Star Optoelectronics Technology) for the sale of its Suzhou plant and has apparently also sold some equipment from its Asan plant to another Chinese firm as well.
The company is also in talks with two additional Chinese companies to sell the remaining equipment and is hoping to strike a deal by February 2021 and is hoping to shut down the LCD production by March. Samsung has been making LCDs since the early 1990s but had decided to shut production to make room for OLED panels, which have increasingly grown in popularity and demand in recent years.