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Company News >> Dissect! JDI and Huike "break up" and plan to build G6/G8.7 eLEAP OLED production line in Wuhu 9th,Nov,2023

On April 10, 2023, JDI, the last "only child" in Japan's local display panel industry, signed a memorandum of strategic cooperation (MOU) with the world's third largest display manufacturer, Huike Shares (HKC). As a global strategic partner, JDI and Huike will cooperate to build a large-size OLED panel production line.

The author has previously said that Huike shares, as the world's third largest LCD panel production capacity, has a total of four 8.6th-generation LCD production lines, but it is also limited to LCD, and less investment in the OLED industry. JDI, on the other hand, happens to have eLEAP OLED technology that can significantly reduce production costs and improve product quality.

Dissect! JDI and Huike "break up" and plan to build G6/G8.7 eLEAP OLED production line in Wuhu

For Huike, choosing to cooperate with JDI is a good opportunity to participate in the OLED industry circuit. As for JDI, the company has been in the red for nine consecutive years! Therefore, through the construction of production lines through technical cooperation with HKC, not only can the capital investment be greatly reduced, but also the manufacturing scale of HKC can be used as an opportunity to achieve a turnaround. Both parties benefit each other.

Dissect! JDI and Huike "break up" and plan to build G6/G8.7 eLEAP OLED production line in Wuhu

However, on September 29, 2023, JDI issued an announcement officially announcing that the cooperation negotiations between the two sides had broken down and the construction plan had been canceled. JDI said that in view of the company's business strategy, after obtaining the consent and understanding of HKC, it decided to terminate this MOU, but still chose to negotiate and cooperate with HKC in the vehicle display business.

According to a recent report by the Japanese Economic News, the negotiations between JDI and HKC broke down because the two sides failed to reach an agreement on technical fees and other matters, so the cooperation negotiations between the two broke down. Japan Joint news agency also reported recently that JDI will terminate the MOU with HKC, it is reported that the client has a negative attitude towards HKC's plan to build an OLED panel factory.