AUO's order recovered and

▲ New foldable phones may adopt AUO’s products.
▲ New foldable phones may adopt AUO’s products.

鉅亨網

Paul SL Peng, the president of AUO （2409-TW） told that after the lunar new year, the orders returned and may persist into 2Q19, leading the capacity utilization rate to rise to 100%. As Samsung and Huawei continue to roll out foldable phones this year, the market is likely to see AUO’s products in this newly-launched foldable phones.

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Peng pointed out that after the Lunar New Year, as inventory in the downstream remained at a healthier level, some customers began to make the orders. Moreover, as the peers suffered from the production bottlenecks, order-transfer effect appeared. Therefore, the company see upside to the orders until 2Q19 and the capacity utilization rate to rise to 100% after lunar new year.

When it comes to the prices after the volume of orders has rebound, Peng pointed out that whether the price rises or not, it still depends on the supply and demand in the market.

Samsung and Huawei both launched foldable phones this year. Peng believed that this is the application and breakthrough of new panel technologies. Smart phones and tablet products can be integrated. This year, the new foldable phones may adopt AUO’s products and concentrate on the inner foldable flexible screen.

However, Peng told that the new technology still faces some difficulties such as high price and customer experience. The sales of terminal brand products are uncertain. But, he still holds optimistic view on the new technology of foldable phones.

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