Goertek is reportedly pursuing plans to introduce deposition equipment from South Korea’s Sunic System for Micro OLED production at its Jinan plant in Shandong Province and to source CMOS backplanes from China’s Nexchip. The approach appears aimed at establishing a microdisplay production system that combines China’s semiconductor manufacturing infrastructure with South Korea’s OLED deposition technology.
In January, Sunic System disclosed a contract worth approximately KRW 41.04 billion to supply deposition equipment for Micro OLED mass production to Goertek affiliate Jinan Goerpixel.
According to industry sources, Goertek is also considering investment in a new production facility in Shanghai’s Zhangjiang area. The proposed line would have a capacity of 6,000 12-inch wafers per month, similar to the Jinan facility, with Micro LED being considered as the initial priority. An investment decision and the start of construction are expected around the end of the year, although the plans are understood to remain unconfirmed.
A distinctive feature of Goertek’s investment strategy is its pursuit of both Micro OLED and Micro LED capabilities, with each technology targeting a different primary market. The company appears to be pursuing Micro OLED commercialization mainly for high-resolution VR and MR devices, while seeking to build its medium- to long-term competitiveness in Micro LED for AR glasses, which require high brightness and compact form factors. However, Micro OLED is already widely used in AR glasses with birdbath optics, so the applications of the two technologies are likely to continue overlapping to some extent for the time being.
Goertek unveiled a 4K Micro OLED display module developed in-house in 2025, followed by lightweight full-color waveguides and pancake optical modules in September this year. The company is broadening its technological foundation for integrating display devices, optical systems, and finished product manufacturing.
Goertek’s full-color Micro LED optical engine (Courtesy of Goertek)
UBI Research views Goertek’s microdisplay investments as a strategy to strengthen its position in the XR supply chain, extending beyond panel production capacity expansion alone. At an investor briefing in September, Goertek also identified the vertical integration of key components as a major means of improving profitability.
If Goertek establishes an integrated supply model encompassing displays, optical modules, and finished products, it could expand both the range of components it supplies to XR brands and its involvement in product design. In particular, increased in-house display production could reduce its dependence on external microdisplay suppliers and affect supply opportunities for existing specialist manufacturers. Progress in achieving adequate mass-production yields at the Jinan plant, along with whether Goertek proceeds with the additional Micro LED investment in Shanghai, is expected to provide key indicators of the company’s ability to broaden its role from an XR device manufacturer to a key display supplier.