Blooming of 8K Epoch

Dr. Xibin Shao

BOE Technology Group Co., Ltd.

Oct. 2017

—— BOE 8K Strategy

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8K Overview

8K Industry Chain

Technical Trends of 8K Display

BOE 8K Strategy

Conclusion

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8K Overview

8K Industry Chain

Technical Trends of 8K Display

BOE 8K Strategy

Conclusion

I. 8K Overview | The IoT Era is coming.

Internet Era

1990’s

Mobile Internet Era

2009

Internet+ Era

2013

Internet of Things (IoT) Era

2020 Year

Sci

en

tifi

c Level

2G

3G

4G 5G

Productivity: Human

Human + AI

AI & Big Data

Human → AI

Connection: Human

& Human

Human & Human

Human &

Merchandise

Everything Connection

Data Amount: EB

Data Amount: ZB

Data Amount: 10 ZB

Data Amount: Dozens of ZB

01/23

I. 8K Overview | An important terminal of IoT—— Display

Display, as an important terminal of IoT, would shoulder the mission of showing more visual information,

therefore, 8K+ display will be one of the best solutions.

02/23

I. 8K Overview | 8K market is about to explode, and 60”+ will be mainstream.

@Source: IHS 2017

8K LCD TV market will start in 2018, and the total shipments will be 3.63M in 2021. The CAGR is expected

to be 135%. Furthermore, 60”+ will be the mainstream size;

Sport events, such as Tokyo Olympics 2020, are the major stimulus to the market;

China will become the largest market, followed by North America, Western Europe and Japan.

0

5

10

15

20

25

2015 2016 2017 2018 2019 2020 2021

6x" 4K 6x" 8K 7x" 4K7x" 8K 8x" 4K 8x" 8K

4K & 8K LCD TV PNL in Size Category

CAGR: 135%

(@2018→2021)

Unit: M

0

0.5

1

1.5

2

2.5

3

3.5

2018 2019 2020 2021

China Western Europe North America Japan Others

8K LCD TV Set by Region

0.041

0.006 0.183

0.799

0.029 0.115 0.044

1.432

0.046

0.291

0.128

2.297

0.205

0.445

Unit: M

03/23

I. 8K Overview | Several important events have promoted the 8K process.

2017 2020

1995

NHK Started developing 8K Super Hi-Vision(SHV).

2013

NHK At NAB, showed its 8K wireless transmission

system.

2012

ITU: <BT.2020> Defined the spec of

UHD(4K/8K).

2014

NHK & BOE Broadcast the video signal

of World Cup 2014 by

satellite to the public.

2016

Globo & BOE, NHK Rio Olympic was the

first time using 8K live

broadcast in the world.

2018

BOE, Sharp WWSE was a feast of 8K display, which was

led by BOE and Sharp.

NHK Start commercial

broadcasting of the

Russian World Cup.

NHK Popularize the 8K broadcast of the

Tokyo Olympics 2020.

Important events, especially sports, have greatly promoted the 8K process. Tokyo Olympic 2020 is a great

opportunity to popularize the 8K broadcast.

04/23

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8K Overview

8K Industry Chain

Technical Trends of 8K Display

BOE 8K Strategy

Conclusion

II. 8K Industry Chain | The outlines of 8K industry chain

The 8K process needs to be promoted by the whole industry chain, including contents shooting,

encoding/decoding, transmission and display.

The outlines of 8K industry chain

Shooting Encoding/Decoding Transmission Display

Tech. Demand

Key Parts

8K shooting

technology

Large data storage

capacity

Efficient

non-destructive

encoding &

decoding

High-speed:

- Satellite

- Terrestrial

- Cable

- Internet

Excellent picture

quality

Smart interaction

05/23

II. 8K Industry Chain | Shooting

8K shooting equipment needs at least 33M effective pixels;

The technology of cameras is very mature, but cameras are unable to shoot TV contents;

For 8K camcorders, the technology is ready, but its commercialization needs to be promoted.

Tech. Demand

Key Parts

2012 2014 2016 2018

Nikon 36.3 MP

Leica 37.5 MP

Sony 36.4 MP

Leica 37.5 MP

Nikon 36.3 MP

Canon 50.6 MP

Sony 42.4 MP

NHK & Hitachi

@IBC

RED 37.5 MP; on sale

Canon 35.3 MP;

exhibition

Panavision 35.5 MP;

lease

Ikegami @NAB

NHK & Sony

@IBC

8K Camcorder:

• The degree of commercialization is higher than

camcorder, and many new products appear;

• But they are mostly used in shooting static pictures.

Status

8K Camera:

• Develop rapidly;

• The degree of commercialization is not enough.

Major Players

Status

Major Players

06/23

II. 8K Industry Chain | Encoding/decoding

The data amount of original 8K contents is so huge that it must be compressed and encoded before

transmission, and then be decoded to display;

Key technologies: H.265 standard, Encoder and Decoder.

Tech. Demand

FHD 1,920*1,080

8K 7,680*4,320

Original 8K contents:

7,680 * 4,320 * 3

*12 bit * 60 fps

=66.7 Gbps

Compression Ratio

100:1

150:1~400:1

Compression Efficiency

1(as reference)

30%~50%↑: 1.3~1.5

Market Status

Mainstream，FHD etc.

Mostly used in UHD+

Faster

Smaller

Lower bandwidth

H.265, released by ITU in 2013

H.264, released by ITU in 2003

07/23

II. 8K Industry Chain | Encoding/decoding

H.264 will be replaced by H.265 in about 5 years. The H.265 hardware, encoder and decoder, are already very

mature, but they are almost used for 4K. In addition, the distribution of H.265 patents is relatively concentrated.

Patent Pool

Others Founded in 2015 Founded in 1990

Hardware status

NHK, Mitsubishi, Fujitsu (Socionext) and

Renesas, have extensive experience:

• Multi-hardware parallel @NHK & Mitsubishi, 2013;

• Single chip @NHK & Socionext, 2016;

Chinese research institutes: Peking University,

Hisilicon, Advantech, and OSDE.

Encoder and decoder Commercialization needs to be promoted.

08/23

II. 8K Industry Chain | Transmission

8K contents contain large data amount, which needs high bandwidth to transmit. Satellite, terrestrial, cable and

Internet are the main transmission modes. Relevant standards and facilities are being improved respectively.

• NHK is the most

aggressive;

• Standard, ISDB-S3 by

ARIB: 12GHz band, 16

APSK, 34.5MHz occupied.

Submitted to ITU;

• Achievements:

Satellite

• Advantages:

complementarity and

localization;

• Key Tech.: UHF band,

High order modulation

(OFDM) and MIMO;

• Achievements:

Lossless transmission by

27 km @2014.

Terrestrial

• Key Tech.: Multiple

carrier transmission;

• Standard: Advanced

DVB-C2 by ARIB:

multiple 6MHz physical

channels are bonded;

• Achievements:

Existing coaxial cable has

been tested @2014.

Cable

• High bandwidth is

needed, no matter fixed

or mobile Internet;

• 5G is necessary.

Internet

09/23

II. 8K Industry Chain | Transmission

For IPTV, high bandwidth Internet is necessary. According to the forecast of Huawei, 100Mbps is urgently

needed in the near future;

For fixed Internet, the average is low, however, high bandwidth Internet is spreading (→100/200→1,000 Mbps).

Entry Operating Perfect

Frequency

Bit Number

Bandwidth /Mbps

8K contents vs. Bandwidth

Spec.

25/30p 50/60p 100/120p

10 12 14

45~75 100~180 220~420

@Source: HW @Source: Akamai

Unit: Mbps

The demand for 100 Mbps:

Operating level 8K contents will be

popular before 2020.

Global fixed Internet status

(2017 Q1, Avg.) :

Global

Korea

Hong Kong

Singapore

Japan

China

……

28.6

21.9

20.3

20.2

7.6

7.2

10/23

II. 8K Industry Chain | Transmission

For mobile Internet, 5G would greatly promote the wireless transmission of 8K signals. Huawei is one of the leaders.

2G

3G

4G

5G

1Mbps

870-960/1800-1850MHz

*The data below is from China.

Internet Era

15Mbps

2010-2025/2110-2145MHz Mobile Internet Era

Internet+ Era

IoT Era

100Mbps

~1850/~2300/~2600MHz

10Gbps

3.4-3.8/28GHz

2017

2018

2019

2020

@Source: IMT-2020 (5G) propulsion group

Chinese 5G Roadmap

Phase II test

Large scale

experimental network

construction

Formal network

construction

Commercialization

11/23

II. 8K Industry Chain | Transmission

Besides decoder, video interface is another important hardware through the transmission to TV set;

HDMI 2.1 is necessary: Standard @2017.01, Test Standard 2.1 @2017Q3, Hardware @2018.

HDMI 2.1

DP 1.4

HDMI 2.0b

Released time B/W

(Max.) Resolution

@Frequency Bit (Max.) Market

2016.05

2015.02

2017.01

18 Gbps

32.4 Gbps

4K @60Hz

4K@120Hz 8K@60Hz

4K/5K/8K/10K @50/60/100/120Hz

16 bit @4K 60Hz 4:2:0 YUV

12 bit @TBD

16 bit @TBD

mostly used in 4K 60Hz

mostly used in PC

under dev. 48 Gbps

12/23

II. 8K Industry Chain | Display

In 2012, ITU released Recommendation ITU-R BT.2020, which defined the technical specifications of UHD.

At the same time, both panel makers and TV brands started to develop 8K display positively.

International standard;

Promoted by NHK;

Key points:

• Pixel counts of 4K/8K;

• Frequency;

• Color gamut;

• Bit number.

Large size & Extreme 8K

Immersive Experience

98”

13/23

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8K Overview

8K Industry Chain

Technical Trends of 8K Display

BOE 8K Strategy

Conclusion

III. Technical Trends of 8K Display | BT.2020 Recommendation

As the international recommendation, BT.2020 describes the technical characteristics of 8K display.

Picture Spatial Characteristics

Pixel counts:

4K_ 3840*2160, 8K_ 7680*4320;

Picture aspect ratio:

16:9.

Picture Temporal Characteristics

Frame frequency:

120Hz (max.);

Scan mode:

Progressive.

Bit Number

10 bit (max.) for 4K;

12 bit (max.) for 8K.

Color Gamut

BT.2020 color space:

R (0.708,0.292);

G (0.170,0.797);

B (0.131,0.046).

14/23

III. Technical Trends of 8K Display | Real 8K

Real 8K Solutions

Real 33M pixel counts

No granular sense

Enjoy perfection

High Trans.

Optimization design of pixel;

High transmittance materials:

New CF Resin

New POL

New LC

15/23

III. Technical Trends of 8K Display | 120Hz

120Hz Solutions

No ghost

More fluent

Immersive experience

60Hz 120Hz

Charging Ratio

Double copper process (G & S/D):

Low resistance;

Oxide TFT:

High mobility

High aperture ratio

Low I off

High charging ratio

Narrow border

Low power

16/23

III. Technical Trends of 8K Display | BT.2020

BT.2020 Solutions

High color saturation

Accurately restore the world

Wide C.G.

Blue LED

KSF R/G

CF

BLU QD Film/CF

KSF BLU+WCG CF

QD Film/CF

＞90% BT.2020

NTSC BT.2020

17/23

III. Technical Trends of 8K Display | HDR

HDR Solutions

Super high C.R.

Strong stereo perception

SDR HDR

Million Level

Dynamic

Contrast Ratio

Normal local dimming (Blocks＜1,000)

Micro LED BLU local dimming:

Dual cell (Pixel Level, Blocks＞20,000):

OC

CF less

BLU

• High density blocks;

• Ultra-slim MDL.

18/23

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8K Overview

8K Industry Chain

Technical Trends of 8K Display

BOE 8K Strategy

Conclusion

IV. BOE 8K Strategy | History & Product Roadmap

2013 2014 2015 2016 2017 2018

Product

Big Events

MP Dev.

98” 8K 110” 8K

82” 10K 65” 8K

75” 8K 60Hz

75” 8K 120Hz

World’s first

@98” 8K

Shipped

@98” 8K

Showed in Japan for

medical application

@98” 8K

World’s first

@110” 8K

World’s first

@82” 10K

Showed in

BIRTV

@98” 8K

8K Theme

Exhibition at

Hollywood

@98” 8K

World’s most

slim @65” 8K

World's first time

8K live broadcast

@98” 8K

Showed in WWSE

@whole series of

8K products:

27”/65”/75”/

98”/110”

27” 8K

Wonderfulness to

be continued…

19/23

Tech. Ready

IV. BOE 8K Strategy | International Honors

Within excellent technology, such as ADS, BOE 8K/10K products have gained widely international recognition.

Inner: TN, Outer: ADS

Visual angle: 135°, 178°.

TN

ADS

20/23

2014 2015 2016 2017

98” 8K

“Best in Show”

@ SID

“Display Tech

Gold Award”

@ IFA

82” 10K

“Best in Show”

@ SID

“Display Tech

Gold Award”

@ IFA

110” 8K

“Lifestyle Innovation

Products Reward”

@ CEATEC

82” 10K

“Display Tech

Innovation

Award of the

Year”

@ IDG

65” 8K

“Technical

Innovation

Award”

@ IFA

“Best in Show”

@ SID

27” 8K

IV. BOE 8K Strategy | High Generation Product Lines

Two G10.5 TFT-LCD fabs

Sign-off date:

2017.08

G10.5 Wuhan, Hubei

G10.5

Hefei, Anhui

MP Preparation

21/23

IV. BOE 8K Strategy | BOE MP Plan

2014 2015 2017 2018 2020 2022

Market Started

• Supplied 98” 8K

to NHK;

• Exhibited more

than 30 times.

Price

of 4K

Quality

of 8K

Further Development

• Supplied 110” 8K ;

• Amazing in CES.

Scale Forming

• Supplied 65” 8K to

several brands;

• Occupied the major

market share.

Larger Scale

• Whole series of

8K products MP:

27”/65”/75”/98”/

110”.

Popularization

• Tokyo Olympic is a

great opportunity to

popularize 8K TV.

Penetration

• Promote 8K TV fully

penetrated;

• Accelerate the transfer

of 8K to IT products.

22/23

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8K Overview

8K Industry Chain

Technical Trends of 8K Display

BOE 8K Strategy

Conclusion

Co

ncl

usi

on

s

8K market is about to explode around 2020.

Industry chain, such as shooting, encoding/decoding,

transmission and display, need to cooperate with each

other to promote the maturity of 8K.

With the excellent technology, advanced G10.5 fabs and

global innovative cooperation, BOE is ready !

23/23

Thanks for your attention.

Xibin Shao | BOE

Oct. 2017

8K is Blooming,

and

We are READY ! In-depth Cooperation

Collaborative Development

Value Co-creation