Reports say that Samsung has signed a major deal with LG to source OLED TV panels from the company. LG’s business unit will provide high-end 77-inch and 83-inch display panels to Samsung. With these panels, Samsung is trying to increase its profits at the same time as competition from Chinese competitors in the LCD TV market increases.

This is the first time Samsung is buying OLED panels directly from LG, but we’ve been hearing rumors about this for years. Narrated VergeThe signing of the commercial agreement with LG shows that Samsung has admitted defeat after ceasing OLED TV production in 2015.

Samsung said in 2015 that large OLED panels are too expensive and the market is not ready for such high-end TVs. Samsung launched cheaper QLED TVs, however, contrary to the company’s predictions, OLED TVs managed to take over the premium market.

Samsung unveiled its first QD-OLED TV last year to return to the OLED product market. Samsung also supplied the OLED panel for Sony’s first QD-OLED TV.

According to informed sources, LG will supply Samsung with two million OLED panels in 2024, three million OLED panels in 2025, and five million OLED panels in 2026.

LG currently owns more than 50% of the OLED TV market, and Sony and Samsung are second and third with a share of 26% and 6%, respectively.

Samsung has dominated the global TV market for 17 years, but in recent years, competition from Chinese companies has increased greatly. The Chinese are making LCD TVs available at lower prices.

Signing a commercial agreement with Samsung is good news for LG. The company said some time ago that the demand for smart TVs has decreased and the sales of OLED TV panels have been lower than expected.

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