Au: Ferries and yachts have imported Micro LED

Panel factory AU Optronics chairman Peng Shuanglang said today that the proportion of non-pure panel business revenue is expected to more than half in 2027, AU will no longer be a pure panel factory, is expected to leave the panel industry boom cycle.

Au today held a legal person briefing, Peng Shuanglang pointed out that AU will no longer be a pure panel company, will change to three different groups of operating structures as the company's three main operating pillars, "Mobility Solution smart mobility", "Vertical Solution vertical field" and "Display display technology". In order to reduce the impact of the panel industry boom cycle, to achieve stable profits.

Peng Shuanglang stressed that the transformation process will no longer talk about the panel "outlet to the sea", but the extension of the value chain, because the panels required for smart mobile and vertical field products are needed to do how much, not to do the panel first and then digest.

He said that as far as possible out of the panel boom cycle, looking for the second wave of growth curve, including the acquisition of Germany's BHTC, layout of the automotive market, belongs to the smart mobile business, after BHTC joined AUO automotive revenue increased, accounting for more than 20% of revenue; Coupled with the integration of vertical fields including medical care, services, energy, education, etc., non-pure panel revenue is expected to exceed 50% in 2027; For example, today's announcement of the acquisition of Avocor Company in the United States is optimistic about the vertical integration of education.

Au announced today, on behalf of its subsidiaries, that it has acquired 100% equity interest in Avocor TechnologiesUSA, Inc. and subscribed for its cash increase.

As for the panel business, AU will also play the existing core panel technology, and will develop Micro LED panels at this stage.

Au General manager Ke Furen explained that the microLED panel has the advantages of high brightness, large viewing Angle and low power consumption, breaking through the deadlock of traditional flat display, easy to do high penetration displays, such as transparent displays, such as the Kaohsiung ferry and yacht displays have been used.

Peng Shuanglang said that in addition to the microlight-emitting diode panels for wearable devices that were shipped last year, there are also TV panels and large splicing display panels that use microlight-emitting diode technology. It has even obtained a product license to jointly develop microLED panels with foreign automakers, and it can be formally mass-produced after 2 or 3 years; In the future, not only in-car applications, but also outside the car applications can be widely used microLED.

As for the recently popular panel-level fan-out package technology, Peng Shuanglang and Ke Furen believe that AU has invested in research and development, but the application range of technology is limited, and how to grow is uncertain. Even if TSMC and other wafer manufacturers consider the heat dissipation needs of artificial intelligence (AI) products, the use of square panel glass substrate has a heat dissipation advantage, but the current technology is not mature enough, and even if the product direction is confirmed in the future, if the panel factory works with the packaging factory, it will eventually become a competitor with the packaging factory, and the competition and cooperation relationship between each other is complex. Whether or not to commit still needs to be assessed for the most appropriate time.

However, for the rumors of Innolac selling panel factories to fabs, Ke Furen explained that in order to activate assets, selling idle factories to fabs for profit while panel fan-out technology is being compacted is a completely different matter from developing technology.