Impact of COVID-19 on the PMOLED Market
PMOLED stands for passive matrix organic light-emitting diode. It is one of the types of OLEDs that uses a simple system to control every row in the display sequentially. These displays are generally used in sub displays, small gadgets, and wearable devices. The major factors driving the growth of the market include the increasing adoption of wearable technologies and the rising global population. The recent outbreak of the COVID-19 pandemic has drastically impacted the displays industry. The temporary suspension of manufacturing operations across major manufacturing hubs has slowed down the production of display products substantially. The prominent manufacturers have halted their operations in countries such as China, South Korea, India, and Europe. The lockdowns imposed by governments of various countries have forced businesses to close their plants temporarily. The halt in the production of smartwatches, fitness bands, and other wearable devices that use PMOLED displays has negatively impacted the growth of the market. Also, the decrease in the adoption of PMOLED displays due to delays or cancelations in the launching of new handheld gadgets that use PMOLED displays is hindering the growth of the market.
The rapid adoption of OLED displays in smartphones is a key driver for the growth of the market. However, during the COVID-19 pandemic, there has been a decline in the sales of smartphones owing to the economic crisis as well as the change in consumer behavior. Besides, the use of large PMOLED displays for installation in commercial places is also responsible for the growth of the market. The delays caused in the various infrastructure development projects, where large screen displays are installed, have hampered the growth of the market. The disruptions caused in the supply chain activities, revenue losses, reduced operational capacities, and unavailability of labor are some of the challenges that manufacturing companies are currently facing. The uncertainty associated with the extended duration of the global lockdown makes it difficult to estimate when and how a resurgence in the display industry would occur.
Number of Connected Wearable Devices Worldwide (Units in Million)