Hefei Guoxian Invests 55 Billion Yuan in World's First FMM-less AMOLED Production Line, Leading China's Display Industry to Global Leadership

Hefei Guoxian Invests 55 Billion Yuan in World's First FMM-less AMOLED Production Line, Leading China's Display Industry to Global LeadershipOn September 25th, Hefei Guoxian Optoelectronics Technology Co., Ltd

Hefei Guoxian Invests 55 Billion Yuan in World's First FMM-less AMOLED Production Line, Leading China's Display Industry to Global Leadership

On September 25th, Hefei Guoxian Optoelectronics Technology Co., Ltd. (hereinafter referred to as "Hefei Guoxian") held a grand opening ceremony for its 8.6th generation AMOLED production line. This advanced production line, with a total investment of 55 billion yuan (approximately $7.5 billion USD), will be the world's first 8.6th generation AMOLED production line equipped with FMM-less (ViP) technology. Its designed capacity is a remarkable 32,000 glass substrates (2290mm2620mm) per month. The aim is to further tap into the growth potential of AMOLED, accelerate entry into the burgeoning mid-size display market, and reshape the global AMOLED panel supply landscape. Located in Hefei Xinzhan High-tech Zone, the project is jointly funded, constructed, and operated by Visionox and Hefei's investment platform. This collaboration marks a significant step forward for Visionox and Hefei City in the field of innovative technology transformation, injecting strong impetus into the vigorous development of Hefei's new display industry.

Four Upgrades to Create a Technologically Leading AMOLED Production Line

Hefei Guoxian's 8.6th generation AMOLED production line centers around four strategic upgrades: technology, size, efficiency, and application. It aims to build a technologically advanced, highly compatible, and broadly applicable high-generation AMOLED production line to meet the ever-growing market demands.

1. Technology Upgrade: Empowered by Multiple "Flagship Technologies"

This production line will adopt several leading technologies, significantly improving product performance, production efficiency, and market competitiveness. These include:

• ViP Technology (Visionox Intelligent Pixelation Technology): This technology is crucial for OLED's breakthrough into larger sizes and higher-generation production lines. Its core advantages include being FMM-less, featuring independent pixels, and offering high precision. Compared to traditional technologies, ViP technology significantly improves product performance and production efficiency, serving as a key driver for AMOLED industry upgrades. Its FMM (color filter film)-less design overcomes the limitations of traditional technologies, resulting in more precise pixel control and superior display effects.

• New "LTPO+" Technology: This is an optimized upgrade based on the existing LTPO backplane technology. It enhances product performance, reduces power consumption, further improves image quality, and elevates user experience. Furthermore, the production line is compatible with full-oxide driver backplane production capabilities, possessing the potential to produce low-cost products and enhancing the line's cost competitiveness to better adapt to market demands.

• COE Technology (Color Filter Oncell Technology): Compared to traditional polarizer solutions, COE technology effectively reduces screen thickness and power consumption by up to 25%, offering significant advantages in foldable phones, portable computers, and other areas. It also contributes positively to environmentally friendly and low-carbon development. The thinner and lower-power design meets consumer demand for lightweight and energy-efficient products.

• Tandem OLED Technology: By connecting multiple light-emitting units in series, it meets the demands of mid-to-large size OLED panels for low power consumption, high brightness, and long lifespan, thus improving product performance and service life to meet the quality demands of the high-end market.

2. Size Upgrade: Covering Multiple Application Areas

The new production line can produce larger AMOLED panels, covering multiple application areas such as tablet computers, laptops, and in-vehicle displays, meeting the differentiated display technology needs of various terminal devices and expanding market space.

3. Efficiency Upgrade: Enhancing Cutting Efficiency and Economy

The adoption of the 8.6th generation line will significantly improve the cutting efficiency and economy of mid-to-large size OLED products, reducing production costs and enhancing market competitiveness. Higher production capacity and lower costs will make AMOLED products more attractive to the market.

4. Application Upgrade: Driving Terminal Product Iteration through Technological Upgrades

Hefei Guoxian's 8.6th generation AMOLED production line will use technological upgrades to drive the iteration of downstream terminal products, creating new growth points for the company and promoting the common development of the entire industrial chain. The application of new technologies will give rise to new product forms and application scenarios, expanding market boundaries.

Responding to Market Needs and Leading Industry Restructuring

AMOLED technology is accelerating its penetration into mid-size applications such as tablet computers, laptops, and in-vehicle displays. Shipments are expected to experience a turning point in 2024. Faced with this market opportunity, China's emerging display companies need to quickly respond to market demands and proactively seize development opportunities. Hefei Guoxian's investment and construction demonstrate Chinese companies' proactive response to market challenges and their grasp of development opportunities.

High Praise for the Project's Significance from Various Circles

Yuan Fei, member of the Standing Committee of the Hefei Municipal Committee and Deputy Mayor, stated that Visionox is a leading enterprise in Hefei's new display industry and a benchmark enterprise in flexible display technology. This cooperation will usher in a new chapter for Hefei's display industry and accelerate the construction of Hefei as a "world display capital."

Zhang Jing'an, President of the China Association for Science and Technology System Reform Research, former member of the Party Group of the Ministry of Science and Technology, and former president of the Science and Technology Daily, highly praised the independent innovation significance of ViP technology and expressed respect for innovative enterprises such as Visionox, encouraging them to continue to adhere to independent innovation and make greater contributions to the development of China's display industry.

Ouyang Zhongcan, an academician of the Chinese Academy of Sciences and theoretical physicist, believes that the production line's adoption of the world's first FMM-less technology solution is revolutionary and will help China's new display industry gain a strategic advantage and seize the commanding heights of OLED technology. He highly commended Visionox's innovative exploration in "uncharted territory."

Liang Xinqing, Executive Vice President and Secretary-General of the Liquid Crystal Branch of the China Optical and Optoelectronic Industry Association, pointed out that the global new display industry is in an upward cycle, and OLED technology is entering its golden age. China's display industry has already achieved a leading position in the small-size OLED field, and the mid-size OLED market is about to explode. This project will help China's display industry "lead" the world and promote the transfer of Chinese manufacturing to the high value chain.

Dr. Zhang Deqiang, Chairman and President of Visionox, stated that the construction of Hefei Guoxian's 8.6th generation AMOLED production line aligns with national and industrial needs. Visionox will closely cooperate with Hefei Guoxian to rapidly promote the implementation of innovative technologies, adhering to the original intention of "serving the country through industry" and guided by the "one strong and two new" long-term development strategy, adhering to the innovation model of "basic research-pilot test-mass production-application" to continuously promote the development of the AMOLED industry.

Qualitative Change and Upgrade of the AMOLED Industry

The OLED industry is experiencing a leap from quantitative to qualitative change, and the focus of competition is shifting from scale to efficiency and value. Hefei Guoxian's 8.6th generation AMOLED production line, taking advantage of the rise of the mid-size market and fueled by ViP innovative technology, will drive the AMOLED industry to leap to the AMOLED+ era, leading China's display industry to new heights. This is not only a significant opportunity for Hefei's economic development, but also a crucial step for China to take a leading position in the global high-end display technology field. The 55 billion yuan investment reflects the high importance placed on technological innovation and industrial upgrading by the nation and heralds a new stage for China's AMOLED industry. This advanced production line will bring higher-quality and more innovative display products to consumers in China and around the world, promoting the digital transformation and upgrading of various industries.

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