Samsung will stop production of rigid-flex PCB at the end of the year

DSC 6990 min scaled e1623379766833 - Samsung will stop production of rigid-flex PCB at the end of the year

Samsung will stop production of rigid-flex boards at the end of the year and focus on IC substrates.

According to Korean media reports, Samsung Electro-Mechanics has begun to reorganize its PCB business and plans to exit the RFPCB (rigid-flex PCB) business by the end of the year and focus on the production of IC substrates. The company’s rigid-flex PCB is mainly used in Samsung Electronics and Apple mobile phones.

According to data, Samsung Electro-Mechanics was established in 1973 and developed into a company that develops and produces core electronic components on a global scale including South Korea. It is reported that Samsung Electro-Mechanics RFPCB is mainly used for OLED panels produced by its affiliate Samsung Display (Samsung Display). These OLED panels are adopted by Samsung Electronics, Apple, and Chinese smartphone manufacturers. Currently, Samsung Display RFPCB suppliers include Samsung Electro-Mechanics, BH, YP Electronics, Interflex, and Xinxing.

It is worth noting that in 2019, Samsung Electro-Mechanics decided to close the HDI factory in Kunshan, China, and officially withdrew from the HDI market.

According to previous media reports, Korean brands have a high demand for rigid and flexible boards, which has driven Korean PCB manufacturers such as Samsung Electro-Mechanics and BH Flex to invest relatively concentrated and advanced in the field of rigid and flexible boards, but they also mainly serve their own companies. The needs of the brand.

However, in recent years, the demand for rigid-flex boards from non-Korean manufacturers has also begun to grow, and the supply systems of Taiwanese and Chinese manufacturers have gradually improved, and their production capacity has gradually expanded, gradually extending from battery modules, mobile phone lens modules, etc. to automotive electronic ADAS In areas such as lens modules and other component modules, it is not easy for Korean manufacturers to obtain non-Korean orders.

At the same time, price wars are also one of the influencing factors. “Rigid-flex PCB is one of the three major sectors of Samsung Electro-Mechanics’ PCB business. After exiting the HDI market, it is also helpless to abandon the RFPCB business. The decline in profitability is a flaw. Finally, the remaining package substrates of the PCB business are also expanding OLED displays. China’s domestic mobile phone brands are trying to improve profitability.” Industry insiders said.

 


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