AUO announced today (April 2) that its wholly owned subsidiary, AUO Display Plus (ADP), has signed a term sheet with E Ink to establish a joint venture company (the JV company) with paid-in capital of TWD 390 million, aiming to capture the continuous growth opportunities in the green display market. According to the term sheet, ADP and E Ink will own 51% and 49% stake of the JV company respectively and will jointly establish large-sized Electro-Phoretic Display (EPD) module production lines at AUO’s Longke site in Taoyuan, with mass production expected to begin in the fourth quarter of 2025.

 

E Ink will leverage its advantages as a global leader in the ePaper display technology to provide critical technologies and materials. By integrating AUO’s strengths in panel design, smart manufacturing, and production management capabilities, along with ADP’s strong customer base and global market footprint in the smart retail sectors, as well as its strategies for developing display products with low-carbon emission and digitalization, the JV company will actively pursue the market opportunities for large-sized ePaper display applications. Additionally, the implementation of new technologies in AUO’s Longke site also enhances AUO’s further investment and strengthened operations in Taiwan.

 

As ESG has evolved from a trend into specific evaluation metrics, the features of ePaper displays—such as energy saving, better readability, efficiency improvement, and eco-friendliness—complement the development of green business opportunities, boosting the market demand for large-sized digital display applications. Riding the wave of low-carbon emission and digital transformation, ADP and E Ink are collaborating to develop a more comprehensive supply chain and ecosystem. Together, the two companies will work to enhance efficiency and increase the adoption of large-sized ePaper displays in various applications. The expected synergies and accomplishments from the collaboration include:

 

  • Seamless Integration of Technology and Manufacturing: As a global leader in the ePaper sector, E Ink possesses the latest and most competitive large-sized color ePaper technology and will provide such critical technologies and materials to the JV company. By leveraging AUO’s leading diverse display technology offerings and extensive experience in display design and manufacturing, the JV company can offer more stable products with higher performance, thereby enhancing the display quality and durability of large-sized color ePaper modules.
  • Comprehensive Product Portfolio to Expand Market Penetration: ADP possesses a diverse product portfolio spanning from LCD, LED to Micro LED and other display technologies. With strong market development and integration capabilities, ADP enables the implementation of products into various applications across smart retail, enterprise displays, advertising signages and more, providing customers with diversified solutions. Through this collaboration, the two companies will actively expand the market and pursue growth opportunities for large-sized color ePaper, meeting the diverse and specific application needs of customers, enhancing competitiveness, and supporting the expansion and penetration of low-carbon smart display in the market.

 

“AUO Group values strategic partnerships to develop diverse display technologies within the ecosystem. With our strong know-how in display technologies and experience in smart manufacturing, we create value with our partners across various sectors through vertical integration, offering customers with more innovative and customized products and services,” said Dr. Frank Ko, CEO and President of AUO. “The strategic partnership between ADP and E Ink integrates technology, manufacturing, and marketing resources, providing more competitive products, robust supply chain, and more comprehensive solutions to market demands. We aim to seize the market opportunity by leveraging a stronger ecosystem for large-sized color ePaper sector.”

 

“Leveraging our world-leading ePaper technology, E Ink is committed to building a robust and forward-looking industry ecosystem in close collaboration with our supply chain partners,” said Johnson Lee, CEO of E Ink. “E Ink and the AUO Group have maintained a long-standing partnership—from the early days of TFT backplane supply to now co-founding a joint venture for high-spec large-sized ePaper module production. This milestone reflects not only our shared strength and determination to advance the ePaper industry, but also E Ink’s continued support for its partners. “Looking ahead, E Ink will continue to enhance innovation and manufacturing capabilities in ePaper materials, working hand-in-hand with ecosystem partners to expand the scale and competitiveness of the large-sized ePaper sector. Together, we aim to accelerate the adoption of ePaper display applications and unlock broader market opportunities.”

 

These years, AUO has strengthened its development in vertical solutions through a biaxial transformation strategy. Its subsidiary, ADP, by integrating advanced display technology with software and hardware application services, provides various solutions in multiple vertical application fields, including smart retail, enterprise and education, transportation, and medical sectors and helps clients create new business opportunities in digital display and interaction. With the strategic collaboration between ADP and E Ink on building large-sized EPD module production lines, the two companies aim to create the best value for customers by making low-carbon emission solutions and digital transformation more prevalent across various verticals, amid the growing demand for sustainable products and services. The investment also demonstrates AUO's deep commitment to continuously expanding its manufacturing footprint, enhancing technology development, and nurturing talent in Taiwan, which strengthens AUO's strength and resilience on its path to the biaxial transformation.

AUO Display Plus and E Ink propose to establish a joint venture company for building large-sized EPD Module production lines, accelerating the growth of low-carbon smart display

AUO Display Plus and E Ink propose to establish a joint venture company for building large-sized EPD Module production lines, accelerating the growth of low-carbon smart display

AUO Display Plus and E Ink propose to establish a joint venture company for building large-sized EPD Module production lines, accelerating the growth of low-carbon smart display