- SK Innovation will provide 'total solution' after developing differentiated 
hard coating and functional coating for clear PI films.
- Commissioning of demo plant will be completed by the end of March, this year, 
and commercial operation will begin in the second half of 2019.
- FCW was unveiled for the first time at CES 2019. At MWC 2019, new foldable 
phones were announced amid heated competition.



SK Innovation plans to bring forward the mass production of flexible cover 
window (FCW), a key material for flexible displays, to the second half of 2019. 
FCW is SK Innovation's flexible plate brand for flexible displays. SK 
Innovation will begin mass production once commissioning of a demo plant is 
completed by the end of March.

FCW is a material that adds hard-coating and functional-coating to the existing 
clear polyimide (PI) film to prevent contamination. FCW is a differentiated 
technology as it has bending and anti-scratch features.

To enter into the market for flexible displays, SK Innovation began to develop 
FCW based on the PI film technology it had accumulated since 2006. Flexible 
displays are used in smartphones, laptops and tablets globally. SK Innovation 
succeeded in developing products for flexible displays and commercial 
production is around the corner.

At the Mobile World Congress (MWC) 2019, many smartphone manufacturers 
announced plans for mass production of foldable phones, attracting much 
attention to materials for flexible displays as relevant market is expected to 
grow. According to Strategy Analytics, a research and consulting firm in the 
U.S., the global foldable smartphone sales will increase from 32 million units 
in 2019 to 50.1 million units by 2022, recording CAGR of 250%.

It is expected that the clear PI film market will grow as well. Currently, a 
few companies from Korea and Japan including SK Innovation are competing with 
the aim for mass production.

"SK Innovation has advantages because we can provide total solution from clear 
PI film manufacturing to hard- and functional-coating," a spokesperson from SK 
Innovation said. "We have also obtained competitive edge based on material 
development capabilities such as Lithium-ion battery separator (LiBS) where SK 
Innovation ranks second in global market share."

SK Innovation will finish construction of the demo plant during March and join 
other manufacturers in developing foldable displays by demonstrating FCW 
products. The company invested KRW 40 billion in the second quarter of 2018 to 
build FCW plant for mass production at the LiBS plant located in Jeungpyeong, 
North Chungcheong Province with an aim to begin commercial operation in the 
second half of 2019. In addition, SK Innovation is reviewing a plan to build 
additional plant, considering the fast growing market.

SK Innovation announced FCW products for the first time at Consumer Electronics 
Show 2019, the world's largest consumer technology show, gaining attention from 
participating companies and visitors. In the future, the company will showcase 
the products at a variety of exhibitions.

On the 26th, Rho Jea-sok, CEO of SK Innovation's Material Business paid a visit 
to MWC. After looking around the halls where foldable phones were displayed, he 
said, "We will respond to the expanding foldable phone market proactively with 
our differentiated competitiveness in FCW including hard coating technology."

SK Innovation has decided to spin off its Material Business to enhance its 
expertise and obtain global competitiveness. The spin-off will be determined at 
the annual general meeting to be held in March with the timeline of splitting 
the unit into a subsidiary by April 1st.

SOURCE  SK Innovation