Organic Light Emitting Diode Materials Market Size, Share & COVID-19 Analysis, By Type (Substrates, Encapsulation, Anode, Cathode, Emissive Layer (EML), Electron Transport Layer (ETL), Hole Injection Layer (HIL), and Others), By Application (Display and Lighting), and Regional Forecast, 2023-2030

The global organic light emitting diode materials market size was valued at USD 1.09 billion in 2022 and is projected to grow from USD 1.26 billion in 2023 to USD 3.50 billion by 2030, exhibiting a CAGR of 13.6% during the forecast period. Asia Pacific dominated the organic light emitting diode materials market with a market share of 42.2% in 2022.

Organic light emitting diodes (OLEDs) are composed of organic carbon and polymer-based building blocks. Unlike other display types, the diodes have small molecules that operate separately as individual displays with a minimum power of up to 2-10 volts. The materials such as substrates, encapsulation, anode, cathode, and electron transport layer (ETL) in combination with the polymer printing technology are used in the production of these OLEDs. This combination technology helps small OLED molecules to emit blue, green, and white light without any source of illumination.

The organic light emitting diode display offers improved image quality, high brightness, wide color range, and faster pixel refresh rate than the light emitting diode (LED) and liquid crystal display (LCD). Moreover, the materials offer freedom to display manufacturers for developing foldable, flexible, and transparent display designs. Therefore, the demand for the product from end-use applications such as display and lighting has drastically increased over the past few years. Thus, all these factors are helping increase the organic light emitting diode materials market share in the global electronics market.

COVID-19 IMPACT

Stagnant Supply Chain and Decreased Manufacturing of Electronic Devices during the COVID-19 Pandemic Negatively Impacted the Market Growth

The first wave of COVID-19 impacted nearly every country in the world. Countries such as India, China, the U.S., Spain, and the U.K. were highly impacted as the population density was high in these regions. The pandemic was spreading rapidly and governments of the different countries were highly concerned about it. Therefore, the World Health Organization, local health associations, and the respective country governments decided to impose lockdown restrictions on business activities and people’s mobilization. This created an unseen situation for the government, people, and different industries such as the electronics, automotive, chemical, and pharmaceutical. This resulted in a lack of workforce and interruption in the entire supply chain of the organic light emitting diode materials. In addition, COVID-19 impacted the demand for materials from the electronics industry owing to the temporary shutdown of manufacturing units and a decline in sales activities.

Despite the uncertainty in demand for OLED materials during the pandemic owing to the decreased manufacturing of the electronics display, the consumption of the materials gradually increased. This growth was associated with the surging demand for mobiles, televisions (TVs), and wearables owing to the rise in online shopping, remote studies, and other services during and after the pandemic.

Organic Light Emitting Diode Materials Market Trends

Utilization of OLED Materials in Advanced Displays is the Emerging Trend in Market

The OLED materials are widely used in high-performance displays such as monitors, TVs, wearable devices, IT devices, and small displays. These materials are ideal for the production of curved and flexible displays. This has increased the preference for OLED displays from  manufacturers leading to new opportunities in the electronics industry. Furthermore, the materials can be used to produce wearable and transparent OLED displays. These displays are expected to be used on non-flat surfaces, mobile devices, and skin patches or tattoos. For instance, in 2019, Samsung launched its very first mobile device with a foldable display with the specification of HDR10+120Hz dynamic AMOLED displays. Thus, the utilization of OLED materials in advanced and futuristic technology will create an untapped opportunity. Thus, all these factors are leading to the market growth of organic light emitting diode materials across the globe.

Despite the materials’ flexible design, foldable, and rollable nature, the material consumes very less amount of voltage. The OLED display can be operated at a minimum voltage of 2.4V to 10V. Therefore, end-use companies utilize these materials to manufacture advanced displays. For instance, in 2019, LG launched its first rolled OLED TV. The TV enabled content consumption in three viewing options with different rolling angles. These emerging technologies have raised the product demand from the electronics industry.

Organic Light Emitting Diode Materials Market Growth Factors

Growing Demand from Electronics Industry Owing to Product’s Energy Efficient Properties to Boost Market Growth

Over the past years, the electronics industry has grown drastically owing to the rise in the global population. After the pandemic, the demand for mobile phones and TVs has increased drastically. Consumers have started to buy goods, food, and electronic devices online. Furthermore, the government issued new education policies for institutions to provide education in the online mode. All such activities have created a massive opportunity for mobile and TV manufacturers. Thus, the drastic rise in demand for mobiles and TVs has boosted the consumption of OLED materials.

Moreover, these materials offer a simple and ultra-thin flexible design that can be operated in a wide temperature range. In addition, these materials are used to produce light panels with efficacies of 85 lm/W and CRI >90 that can last up to 30,000 – 50,000 cycles before the light emitting efficiency decreases. These factors will drive the organic light emitting diode materials market growth during forecast period.

RESTRAINING FACTORS

Increased Manufacturing Cost of End Products owing to High Initial Capital Cost May Hinder the Market Growth

OLEDs are one of the costly display materials that increase the final cost of the end products. Despite the high manufacturing cost, the display made with organic light emitting diode materials requires a high maintenance cost in case of accidental damage. Besides, the establishment of the new OLED display plant requires a high investment owing to the required machinery and software to produce the foldable and rollable display. All these factors are anticipated to hinder the market expansion.

Organic Light Emitting Diode Materials Market Segmentation Analysis

By Type Analysis

Substrates Segment Held a Dominant Share in the Market Due to its Use in Displays

Based on type, the market for organic light emitting diode materials is categorized into substrates, encapsulation, anode, cathode, emissive layer (EML), electron transport layer (ETL), hole injection layer (HIL), and others.

The substrates segment accounted for the largest market share in 2022. The growth of the segment is associated with its dominant use in display manufacturing. Furthermore, substrate materials such as plastic, metal foil, and glass are widely available in multiple varieties. A rise in the demand for displays from the electronic industry is boosting the segment growth.

The anode segment is anticipated to grow at a considerable CAGR during the review period. The consumption of the anode in the OLED display enables the light emission generated in the display, making it an essential material. Therefore, its essential use in display manufacturing is driving the significant growth of the segment.

The growth of the encapsulation, cathode, emissive layer (EML), electron transport layer (ETL), hole injection layer (HIL), and others segments is associated with their use in advanced OLED displays such as the folded display and rolled display. These materials offer massive benefits to the display when they are combined with plastic or glass film as they increase color efficiency and make it energy efficient. Thus, all these factors are anticipated to boost the growth of these segments, further propelling the market growth.

By Application Analysis

Display Segment to Hold Major Share Owing to its Wide Utilization in Various End-use Industries

In terms of the application, this market is bifurcated into display and lighting.

The display segment held the largest part in the organic light emitting diode materials market share in 2022. The growth is associated with the rise in demand for smart displays from end-use industries such as the automobile, electronics, and aerospace. These end-use industries require a highly integrated version of the touch screen that can easily connect to the automation system.

Furthermore, the displays made of OLED materials support high-resolution video content, such as the 4K and 8K, with ultra-high-performance multi-touch interactivity. Thus, all these advantages and the utilization of display technology are expected to drive this market.

The lighting segment is expected to grow significantly during the forecast period. The rise in green infrastructure activities has surged the demand for energy-efficient lighting solutions. The OLED light requires a small amount of voltage to be operated. Therefore, an increase in infrastructure activities is anticipated to boost the segment growth.

REGIONAL INSIGHTS

By region, the market for organic light emitting diode materials is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

Asia Pacific held the largest market share in 2022. The region has the highest population in the world, which makes it the biggest consumer in the market. The countries in the region, such as India and China, are the fastest-growing economies. Therefore, the electronics industry is growing rapidly in the region, resulting in a high demand for consumer electronic products such as home appliances, mobile phones, TVs, wearables, monitors, and huge displays. The organic light emitting diode materials are widely used in these products to offer high-quality pictures with the minimum energy consumption.  Thus, all these activities are anticipated to boost the market in the region. China is the leading country in the region owing to the presence of several electronic product manufacturers.

The market in Europe is driven by the strong presence of the automotive industry. The region has the key players such as the Volkswagen AG, Stellantis NV, and Mercedes Benz. These key companies use high-quality OLED displays in their cars. Such consumption of the display in the car surges the demand for organic light emitting diode materials. Thus, the strong presence of the automobile industry in the region is anticipated to boost the market in Europe during the forecast period.

The market growth in North America is associated with the rising consumer preference toward electric devices and vehicles. The product demand is rising in Latin America, particularly in industries such as consumer electronics from countries such as Brazil, Mexico, and Argentina, owing to rapid industrialization.

The Middle East & Africa market is expected to exhibit a significant growth driven by Saudi Arabia due to increased investment in the development of the electronic industry. Moreover, the growth of automotive activities in the region is also expected to boost the demand for organic light emitting diode materials.

List of Key Companies in Organic Light Emitting Diode Materials Market

Companies Adoption Innovation as the Key Strategy to Increase Market Presence

Major players in the OLED materials market are Idemitsu Kosan Co., Ltd., Toray Industries, Solus Advanced Materials, UNIVERSAL DISPLAY, and Novaled GmbH. These companies are involved in the innovation of new products, capacity expansion, joint ventures, acquisitions, and partnerships to gain a competitive edge in the market.

Idemitsu Kosan Co., Ltd. has a strong presence in Europe and North America. The company is investing in research and development for the OLED materials. Similarly, the other key market players have established a strong regional presence, robust distribution channels, and varied product offerings.

LIST OF KEY COMPANIES PROFILED:

• Idemitsu Kosan Co.,Ltd. (Japan)


• Toray Industries (Japan)


• Solus Advanced Materials (South Korea)


• UNIVERSAL DISPLAY (U.S.)


• Novaled GmbH (Germany)


• DUPONT (U.S.)


• LT MATERIALS (South Korea)


• DUSKAN NEOLUX (South Korea)


• SAMSUNG SDI (South Korea)


• JiLin OLED Material Tech Co., Ltd (China)

KEY INDUSTRY DEVELOPMENTS:

• August 2023 – Idemitsu Kosan Co., Ltd. announced that the company had achieved high performance in blue organic light emitting diode with a new light emission system. This achievement is expected to create new business opportunities for the company from the end-uses.

REPORT COVERAGE

The market report provides a detailed market analysis and focuses on crucial aspects such as major market players, types, and applications. Furthermore, the report offers insights into market trends and highlights vital industry developments. This report includes historical data and forecasts revenue growth at global, regional, and country levels, and analyzes the industry's latest market dynamics and opportunities. In addition to the factors mentioned above, the report encompasses various factors contributing to the market growth in recent years.

Report Scope & Segmentation