Samsung is looking to invest $3.6 billion to produce organic light-emitting diode (OLED) panels for phones and small devices.
The news comes from a Reuters report, which goes on to mention that the new production line would be set up between this year and 2017.
The South Korean company is looking for way to diversify but also consolidate its efforts and find alternative income sources as its smartphone sales, and profits, are declining. Samsung closed 2014 with disappointing results in the phone market, where competitors such as Apple have gained significant ground.
The OLED panels produced by the new manufacturing line will initially be used in Samsung phones and will feature special manufacturing and design techniques. An example of the products which the company aims to produce is the screen used by the upcoming Samsung Galaxy Edge, which features curved sides. However the company does envision sourcing to others in the industry as well.
Samsung also announced that it would be creating a new chip manufacturing plant in South Korea with an investment of $12.9 bn. Chips have always been an important part of Samsung’s business so further investment in this field might prove the right move for the company.