TrendForce pointed that BOE is poised to surpass Sharp with its future Gen-10.5 fab, which is scheduled for mass production in the second quarter of 2018 and will have a capacity reaching 90,000 pieces of glass per month. Mainstream Gen-8.5 fabs process glass substrates sized 2,500 x 2,200 mm. The Hefei fab by contrast will be capable of processing glass substrates that reach 3,370 x 2,940 mm, representing an 80% increase in area.

BOE plans to allocate the production of 65- and 75-inch super-large TV panels to its Gen-10.5 fab. “Market demand for large TV panels has soared in recent years mainly because the pricing of TV sets has become more competitive, making super-large TVs the first choice for consumers looking for replacements,” Eric Chiou, senior research director at WitsView, a division of TrendForce.

According to WitsView, 65-inch-and-above size segment accounted for less than 0.6% of the TV panel shipments worldwide in 2014, totaling at 1.5 million pieces. This year, the share of this segment is projected to expand to 2.5% and pieces shipped will surge by three and a half fold to 6.8 million. Shipment forecast for 2016 is at 8.3 million pieces and the market share within the TV application will rise further to 3%.

BOE’s Gen-10.5 fab will be able to produce eight 65-inch LCD panels from a single piece of glass substrate. The leading Chinese panel maker expects that more economical panel-cutting process will lead to a significant gain in shipment volume that could offset its disadvantage of being the late market entrant. Moreover, BOE’s fab investment takes advantage of the rising market acceptance of large-size TVs in China and will help the company take a sizable market share in this segment.