When observing the future development of next-generation display technology, Chin-lung Ting, chairman and CEO of PanelSemi and a technical specialist who pioneered the panel semiconductor concept, compared the development of microLEDs to rock climbing.
According to Ting, developing microLEDs is akin to rock climbing; failure to adhere to safety precautions can lead to catastrophic consequences. However, the development of mini LEDs demonstrates a series of staircases that delineate the walkway. A positive cycle can be initiated by any participant identifying a niche market that is not directly competitive, Ting said.
In 2021, Ting introduced the panel semiconductor concept, predominantly based on Taiwan's well-established and resilient ecosystem. This ecosystem includes highly competitive silicon foundries, IC design houses, and OSATs as key components.
Taiwan's TFT LCD panel industry possesses a well-developed supply chain structure, encompassing both the upstream and downstream segments, as well as adequate production lines, Ting indicated. He believes the future panel industry could potentially replicate a successful model comparable to that of semiconductors, led by using the TFT LCD development strategy for its fundamental competitiveness.
Focus on mini LEDs
PanelSemi's main offering is flexible miniLED direct-view displays, which have been the company's primary focus since its convergence and concentration efforts. These displays were not only produced in large quantities but also distributed to the Takashimaya Osaka store and the Nihonbashi flagship store in Tokyo's prominent department store chain during the early months of 2024.
PanelSemi is presently prioritizing the Japanese market. Due to the current high price of flexible miniLED direct-view displays, PanelSemi intends to expand into more regional markets once it has improved its economic scale and considerably lowered prices.
Ting also noted that microLED is difficult to commercialize niche products due to its failure to overcome numerous technological challenges. As a result, it must compete directly with established LCD/OLED products on the market today.
The commercialization of microLED products is a challenge for even the most prominent companies, such as Apple. It would be more difficult for startups, according to Ting.
Circumstances for mini LEDs are different. Ting described mini LEDs as leading PanelSemi to the path to the mountain summit. The first stage in producing new products, especially ultra-thin ones, is to incorporate mini LEDs. To prevent price competition, the flexible miniLED direct-view display and a variety of field applications that mature LCD/OLED and conventional PM LEDs cannot support will eventually enter a positive cycle of market expansion and cost reduction.
PanelSemi will also enter the microLED industry and keep advancing next-generation display technology when all is in order, Ting said.
Being fabless
PanelSemi is positioning itself as a fabless firm, similar to the function that Global UniChip plays in the semiconductor industry, according to Ting. Innolux currently manufactures PanelSemi's products.
It endeavors to establish a panel semiconductor ecosystem by collaborating with partners in a diverse array of sectors, Ting indicated.
PanelSemi has two plans for development, according to Ting. In display technology, the company prioritizes flexible AM mini LEDs due to their lightweight, thin, and energy-efficient properties. It will initially focus on high-value and specialized sectors such as commercial displays, with plans to gradually expand its exports to overseas markets. MicroLED technology will eventually be introduced and used as it evolves, resulting in a revolution in the display sector, he believes.
The second goal is to apply composite substrate technology to non-display applications, Ting said. Currently, high-frequency semiconductor packaging serves as the entry point, with future expansion into high-frequency antennas and advanced semiconductor packaging industries.
