Innolux Corp. pushed back production plans for its fan-out panel level packaging technology to the first half of 2025, citing extended learning curves and weak smartphone demand. The company’s chairman Yang Hung-chiang said the delay stems from customers adjusting their plans for power management ICs in mobile devices.
The Taiwanese display maker is pivoting toward automotive applications, though longer verification periods will impact the timeline. Initially scheduled for late 2024, the FOPLP production at its converted 3.5-generation plant faces setbacks as the company explores alternative markets.
Looking ahead to 2025, Hung-chiang expects modest improvements in TV panel pricing and volume, with slight growth in PC display demand. Industry research institute ITRI projects Taiwan’s electronics component sector to reach NT$2.4 trillion ($76.8 billion) in 2025, up 7.5% year-on-year.
The company recently formed a strategic alliance with Japan Display Inc. to develop next-generation OLED technology, aiming to optimize production capacity and reduce costs. The partnership targets new product launches by 2027, with initial customer presentations planned for the upcoming CES show.
Hung-chiang warned about overreliance on policy subsidies and tariff differentials, noting that Trump-era policy volatility requires broader operational considerations for global manufacturing decisions.
