Samsung Acquires Novaled for $347 Million

Samsung Acquires Novaled for $347 MillionDespite the bitter rivalry between Apple and Samsung that’s playing out in legal systems on the world’s stage, the two tech giants still work together on a daily basis for their mutual benefit.

The South Korean tech giant, which produces a large percentage of iOS device components, confirms that it is purchasing Novaled, a German-based OLED.

The acquisition will reportedly cost Samsung $347 million.

Samsung will buy Novaled through affiliate Cheil Industries Inc., 001300.SE +4.11% which makes electronic materials for OLED displays, and its electronics arm, Samsung Electronics Co.

“Through the acquisition of Novaled, Cheil Industries strengthens its leading position in the field of electronic materials, and we are able to achieve significant synergies in research and development of OLED material of the next generation,” said Jong-Woo Park, chief executive of Cheil Industries.

Cheil will acquire 50% in Novaled, while Samsung will buy 40%, the WSJ confirms, noting that Samsung’s venture capital arm already holds the other 10% in the Dresden-based company.

What we can definitively deduce from this move is that Samsung is committed to OLED technology, which is said to be more energy efficient and capable of presenting more vivid images than rival technology.