Global shipments of automotive OLED panels are projected to increase by 11.8 per cent year-on-year in 2025, according to new analysis from Omdia, as the industry transitions toward a more value-driven and application-focused adoption strategy.
The research, published by the Automotive Display Market Intelligence Service, indicates that total shipments are expected to reach approximately 3.05 million units during the year, even as the broader pace of adoption moderates under the pressure of industry-wide electrification and digitalisation.
Several critical factors are currently slowing the penetration of OLED technology, including intensifying competition across the automotive market and a sharp rise in cost sensitivity among manufacturers.
The market has also been affected by the decision of several European automakers to delay the launch of new electric vehicle platforms, which has pushed back the deployment of advanced display systems.
Current dynamics suggest that automotive OLED is now being evaluated against much stricter cost-efficiency criteria than in previous years, forcing a shift in how the technology is marketed to Original Equipment Manufacturers (OEMs).
Increased supplier participation has already driven panel prices down by approximately 15 to 20 per cent compared with two years ago, though OLED remains more expensive than mainstream LCD solutions.
In major markets such as China, the implementation of these cockpits has largely been limited to conventional suspended centre stacks and flat screens, which often fail to utilise the unique design flexibility of the technology.
Because cost efficiency has become a primary decision driver, some car makers have reassessed their strategies and shifted near-term volume programmes back to FALD LCD or other mature technologies.
Despite these immediate challenges, technological progress in Tandem OLED—which stacks two organic light-emitting layers to improve brightness and lifespan—has further validated the medium as a reliable choice for vehicles.
The demand from manufacturers is gradually evolving toward solutions that enhance vehicle value through differentiated design, such as the next-generation Porsche Cayenne EV.
This luxury model features an L-shaped centre stack seamlessly integrated with a passenger display that offers a switchable privacy mode, a feat enabled by a single-piece, irregular-shaped flexible OLED structure.
As European automakers continue to roll out new flagship platforms, this flexible technology is increasingly being positioned as a key design enabler for the luxury segment.
Meanwhile, ongoing overcapacity and gradual cost reductions are expected to improve the competitiveness of rigid OLED solutions, supporting broader penetration into mid- to high-end vehicle segments after 2027.
The supply chain for these components remains highly concentrated, with Samsung Display expected to command more than 70 per cent of the market share in 2025 due to its significant scale and cost advantages.
BOE is projected to follow as the second-largest supplier with a low double-digit share, while LG Display is expected to increase its presence in 2026 as additional projects enter mass production.
“Automotive OLED is transitioning toward a more disciplined growth phase,” said Wray Wang, Research Analyst at Omdia, regarding the shifting landscape.
The analyst further noted that cost efficiency, differentiation, and sustainable value creation will increasingly define the trajectory of the technology in the coming years.
The industry now looks toward the latter half of the decade as the point where OLED may finally move from a niche luxury feature to a mainstream automotive standard.
