Sintek Photronic, a Taiwan-based maker of sensors of the touch panel, has signed with Samsung Mobile Display a deal to help South Korean companies to overcome a shortage of parts of smartphones.
The two companies Tuesday inked an agreement to supply and technological cooperation, Sintek said in a statement filed with the Taiwan Stock Exchange. Sintek said that it would set up a generation 5.5 to begin mass production of the sensors in the fourth quarter of the year.
Samsung need sensors for mobile phones that use touchscreen technology of organic light-emitting diode (AMOLED) active-matrix, said Sebastian I, an analyst with Yuanta Investment Consulting in Taipei. AMOLED screens are known for saving power, but can be difficult to read in the Sun.
"Supply meet demand," I said. "They need to find a source, so you can extend and they exploited Sintek".
Approximately 90 percent of the AMOLED technology goes towards Samsung smartphone, I said, but other smartphone makers like Apple and HTC are increasingly trying to do it.
Shortage of supply of the screens made by Samsung have pushed some HTC phones to go with other types, but the production of parts based on popular is due to AMOLED increase later this year.
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