According to Omdia's latest report, NexChip and Samsung Foundry are leading the LCD and OLED driver ICs (DDIC) market in Q3 2024. NexChip gained the largest market share in the large-format display and LCD driver IC segments, while Samsung Foundry led the AMOLED DDIC market, cementing their position as a key player in the space.
OLED DDIC is one of the core components of OLED display technology. It is mainly responsible for controlling the operation of the OLED display panel, including driving pixel illumination and controlling the brightness and color of the screen, so as to ensure that the image information can be correctly presented on the screen. The technical development direction of OLED DDIC can be divided into several categories, including ICs with memory, RAM-less ICs, and TDDI. OLED DDIC with memory typically contains Demura Ram and Display Ram to store display compensation data and picture data for better display and power control. Ram-less ICs, on the other hand, remove Display Ram to reduce costs and are suitable for cost-sensitive application scenarios. TDDI, on the other hand, integrates display and touch functions on a single chip, which helps simplify design and reduce costs, although there may be some challenges in OLED applications, such as touch performance and appearance impact.
Figure: Next Chip and Samsung Foundry lead the LCD, OLED and driver IC markets (Source: Omdia)
The report highlights that these Chinese foundries achieved a significant 55% market share in the large-size DDIC segment in Q2 2024, the first time foundries have crossed this threshold and maintained a 49% share in Q3 2024. NexChip dominated the large-format DDIC market in 3Q24, reaching a market share of 42%. Taiwan foundries, including UMC, Vanguard and PSMC, followed with a combined market share of 38%. The growing influence of Chinese foundries in this space is reshaping the market dynamics.
In the small and medium-sized display market, NexChip maintained the largest market share in the LCD driver IC segment in Q3 2024. At the same time, Samsung Foundry has strengthened its position in the AMOLED driver IC segment, capturing a 31% market share, a leading position thanks to its partnership with Samsung LSI. TSMC's market share increased to 17%, thanks to LX Semicon's production of the iPhone 16 series. UMC's market share reached 26% in 3Q24, with Novatek being its largest customer. UMC's share is expected to grow due to continued order adjustments from Samsung LSI. Both Samsung Foundry and UMC supply DDIC to multiple smartphone brands, including iPhone, while TSMC primarily serves the iPhone market. Other notable market players, such as SMIC and GlobalFoundries, also maintain strong positions in the AMOLED market.
Queenie Jiang, senior analyst at Omdia, said key players are expected to continue to play a key role as the industry continues to expand, with new innovations and partnerships that will redefine the industry.
