JOLED Calls it Quits, Files for Bankruptcy

Japanese OLED display manufacturer JOLED has decided to throw in the towel, as the company board has filed for bankruptcy protection at the Tokyo District Court. JOLED has some 33.7 billion yen (US$257 million) in liabilities and is hoping to cover some of these by selling off assets. The Innovation Network Corporation of Japan (INCJ), which is the largest shareholder of JOLED, will be taking over its R&D department, along with around 100 employees as well as its intellectual property. However, it will not take over either of JOLEDs two fabs, located in Nomi and Chiba, Japan. The two fabs employ around 280 staff and currently the two fabs building displays using JOLED's innovative printing technology for OLED displays are expected to be closed.

However, as JOLED still has supply contracts with the likes of Apple, ASUS, Eizo, LG and Sony, INCJ will continue to operate the fabs for now, to fulfil the contracts for the time being. INCJ is apparently accepting responsibility to cover JOLED's liabilities, sheltering the other shareholders of JOLED, which includes Japanese Denso and Chinese CSOT/TCL. JOLED has struggled for most of its existence, being late to market with its OLED displays and haven't been able to compete with the likes of LG and Samsung in Korea and BOE Display and CSOT in China. Hopefully INCJ will be able to take advantage of the intellectual property from JOLED, as the company is focusing on making its own line of OLED displays in the future.