AP5 Line LTPO Equipment Procurement Enters Preparation Phase
According to Korean media reports from August 14, LG Display (LGD) is advancing the procurement of Low-Temperature Polycrystalline Oxide (LTPO) process equipment for its Paju AP5 production line, as part of the 1.1 trillion Korean won (approximately 820 million USD) OLED facility investment announced in April 2026. This move marks the transition from planning to execution in LGD's strategy to expand OLED manufacturing capacity for Apple products.
LGD has confirmed the introduction of sputtering equipment required for the AP5 LTPO process and is currently coordinating specifications and quantities with equipment suppliers. AVACO and ULVAC are among the companies participating in the supply competition, with LGD expected to finalize vendor selection within August.
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AP5: The Apple-Dedicated OLED Line
The AP5 line is LGD's Generation 6 OLED production facility dedicated to manufacturing Apple iPad LTPO TFT panels, while also producing smartphone OLED displays. Currently, AP5 processes approximately 15,000 glass substrates per month. LGD plans to add a second line with a monthly input of approximately 7,500 substrates, targeting production commencement in 2028. Upon completion, total monthly input will increase to approximately 22,500 substrates.
LTPO technology combines LTPS (Low-Temperature Polycrystalline Silicon) TFT with oxide TFT, achieving both high current-driving capability and low leakage current while supporting variable refresh rates that reduce display power consumption. In the LTPO process, sputtering equipment is used to form oxide semiconductor thin films - a critical step that determines panel performance and yield.
Equipment Strategy and Timeline
LGD is currently evaluating both conventional and hybrid sputtering equipment configurations, with final specifications and vendor selection determined by process requirements. The company has already confirmed Sunic System as the supplier for AP5 Generation 6 OLED evaporation equipment, with supporting vacuum logistics equipment also secured. The choice of sputtering configuration will influence not only initial capital expenditure but also long-term production efficiency, as hybrid systems generally offer greater process flexibility for future panel generations.
Following the sputtering equipment vendor selection in August, LGD targets installation by the second quarter of 2027, with equipment delivery to the facility no later than April 2027. This timeline aligns with the overall investment plan, which runs through June 2028 and primarily focuses on expanding AP5 production infrastructure for small and medium-sized OLED product development and mass production.
Broader OLED Investment Context
This equipment procurement represents one component of LGD's broader 1.1 trillion Korean won OLED investment, which underscores the company's commitment to securing next-generation display manufacturing capacity. The investment reflects growing demand from Apple for higher-volume, higher-performance OLED panels across its iPad and iPhone product lines, as the technology ecosystem increasingly shifts from LCD to OLED for premium devices.
The sputtering equipment selection also highlights the intricate supply chain dynamics in OLED manufacturing, where specialized equipment vendors play decisive roles in determining production capability and cost structure. Companies like AVACO and ULVAC compete not only on equipment price but also on technical specifications, yield optimization support, and after-sales service capabilities.
Industry Perspective
For LED and display industry observers, LGD's LTPO investment signals continued migration toward advanced display technologies that demand increasingly sophisticated manufacturing infrastructure. While OLED and LED lighting serve different end markets, the shared supply chain for semiconductor materials, precision drivers - the same discipline an LED intelligent driver demands - and thermal management components means that advances in one segment create ripple effects across the broader photonics ecosystem. For buyers vetting vendors, partnering with a CE RoHS certified LED lighting supplier ensures compliance with European and global environmental standards while guaranteeing the precision current control that professional luminaires need. As a CE RoHS certified LED lighting supplier, Luxsky Lighting notes that technologies like LED intelligent driver systems share foundational engineering principles with the precision drivers used in advanced displays, from closed-loop current control to thermal stability under demanding operating conditions.
