"I Use an LG Display Phone, Not an iPhone"

Lee Dong-wook, Vice Chairman of DPL Association Interview
"From Technology Development to Collaboration with Home Appliance Companies... Market Reform Needed"

[Asia Economy Reporter Moon Chaeseok]

"When asked why I, the Vice Chairman of the Korea Display Industry Association, use an iPhone instead of a Galaxy, I answer, 'I am not using an iPhone, but a product made by LG Display.' Consumers should make purchasing decisions based on components, not products. Only then will finished product (set) companies buy high-quality Korean components instead of cheap Chinese display parts."

On the 26th, at the association's office in Yeoksam-dong, Gangnam-gu, Seoul, Vice Chairman Lee Dong-wook said the display industry structure must be changed. He argued that focusing on business-to-consumer (B2C) transactions rather than business-to-business (B2B) is essential to winning the competition against low-cost Chinese parts.

Below is a Q&A with Vice Chairman Lee.

Lee Dong-wook, Executive Vice President of the Korea Display Industry Association. A transparent OLED is installed in his office in Yeoksam-dong, Seoul. He posed from the opposite side of the screen. The other side cannot see through. Photo by Younghan Heo younghan@

- The government has selected display technology as one of the national strategic technologies.

△ This is the most radical policy in 18 years since the easing of site regulations for the Paju LCD (liquid crystal display) factory in 2004. If the tax credit rate increases, large corporations will actively invest. When large corporations increase investment, it can prevent talent and technology from small and medium-sized material, parts, and equipment companies from flowing to China.

- How do you evaluate companies' new business activities such as future cars and XR (extended reality)?

△ Currently, consumers do not check which country's display panel is used when buying a TV; they only look at the TV brand. We need to create a display-centered platform where consumers choose products based on the origin of the display. In a consumption structure where consumers focus on product (TV) price rather than component (display) quality, Korean displays cannot beat China.

- Please explain more about the display-centered platform.

△ The association is planning a project to grow a customer-tailored B2C market for future cars, transparent OLED (organic light-emitting diode), XR, and more. The project is named 'K-Display Platform.' Displays are used not only in TVs but also in cars, smartphones, XR, and VR (virtual reality) devices. The goal is to encourage all set companies using displays, including home appliances, to collaborate with display companies from the product development stage.

- Should the LCD business, which lost first place to China, be abandoned?

△ It is time to choose and focus. As in the fable 'Who Moved My Cheese?', if you only cling to the old cheese (LCD) without seeking new cheese (new business), it will be too late once the cheese is gone. I believe it is inevitable for large corporations to reduce their LCD business. However, we will continue to support small and medium-sized material, parts, and equipment companies that need to trade with Chinese LCD set companies.

- What business does the association consider important?

△ MicroLED (light-emitting diode), transparent OLED, XR displays, and automotive displays are promising. Korea's industrial ecosystem in the microLED market is weaker than China and Taiwan. Therefore, the association established the 'Self-Emitting Device Planning Committee.' Lee Jung-hoon, the founder of Seoul Viosys, which possesses advanced technology, has agreed to participate. Samsung, LG, and others who need this technology will also join. Once the organization is established, we plan to apply for a 1 trillion won-scale preliminary feasibility study (PFS) project during the government's PFS announcement period in the second half of the year. Vice Minister Jang Young-jin of the Ministry of Trade, Industry and Energy also showed a positive response to the project.