Chinese display companies, which dominate the global liquid crystal display (LCD) market, are expanding into the realm of glass substrates for artificial intelligence (AI) semiconductors. As South Korean firms like Samsung Electro-Mechanics, LG Innotek, and SKC push for the commercialization of glass substrates as a next-generation revenue source, competition for early market entry is intensifying with the involvement of Chinese companies.
According to industry sources, BOE, China's largest display manufacturer, is preparing to invest in a production line for semiconductor glass substrate carriers. At the annual event 'IPC 2026' held in Beijing, BOE Chairman Chen Yanshun announced, "We are preparing to invest in a production line for semiconductor glass substrate carriers," adding that the company is collaborating with clients on product development. BOE has been developing related technologies for the past three years.
BOE is recognized as the most proactive Chinese panel manufacturer in the glass substrate sector. According to market research firm Omdia, BOE has established a pilot line and supplied samples of certain products, such as glass cores, to potential clients. The company also has long-term plans for expanding its production lines, with mass production expected to begin no earlier than 2028.
Other Chinese panel manufacturers are also hastening their market entry. TCL China Star (CSOT) has formed a dedicated team to validate key processes for glass substrate packaging and is pushing for the unveiling of prototypes and the establishment of pilot production lines in the second half of this year. Visionox has also set up a supply chain for materials, components, and equipment for glass substrate manufacturing and is making investments in facilities.
Chinese panel manufacturers are leveraging their experience in glass processing and mass production gained from the LCD business for their glass substrate ventures. The need for precise processing and stable mass production of large glass pieces allows them to utilize their existing display manufacturing expertise. As growth in the LCD market slows, Chinese panel makers are targeting glass substrates for AI semiconductors as a new growth area and are increasing their investments.
In South Korea, Samsung Electro-Mechanics, LG Innotek, and SKC are competing for commercialization. Samsung Electro-Mechanics is establishing a joint venture called 'GlaSSEM' with Japan's Sumitomo Chemical Group subsidiary Dongwoo Fine-Chem, investing 319.1 billion won to secure a 66.2% stake. The joint venture's capital is set at 482.1 billion won. Currently, prototypes of glass substrates are being produced at the Sejong pilot line, with plans for mass production through the joint venture after 2027.
LG Innotek is also accelerating technology development with a goal of mass production of glass substrates by 2028. The company recently showcased its glass substrate technology at the 'KPCA Show 2026' as part of its preparations to expand into the next-generation semiconductor substrate business.
SKC is pursuing market entry through its U.S. subsidiary, Appsolix. Appsolix is conducting evaluations of glass substrates and client certifications while also investing in facilities to improve production yield and quality. Recently, SKC decided to invest an additional 281 billion won in Appsolix, increasing its stake to 70.05%.
The glass substrate market is still in its early stages, with most domestic and international companies engaged in pilot production and client certification. Industry experts anticipate that commercialization efforts will accelerate around 2027-2028. With Chinese companies entering the market formation stage, competition between South Korea and China in the glass substrate sector appears inevitable.
Lee Seung-woo, vice president of the Korea Display Industry Association, emphasized, "Glass substrates are a key technology for realizing next-generation displays, such as bezel-less screens, and an opportunity for a new market. This is a field that is also attracting attention from China, the largest competitor in manufacturing, and considering the winner-takes-all nature of the industry, domestic companies must expedite their technology development."
* This article has been translated by AI.
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