MicroLED Displays and Their Market Potential: Future Outlook 

microLED displays

The display market, primarily dominated by conventional technologies such as LCDs and direct-view LEDs, is changing rapidly—as newer innovations enter the fray. At present, microLED displays are the torchbearers of innovation in the display technology sector, offering better energy efficiency, lower latency, higher brightness, superior color accuracy, and a long lifespan. 

These benefits make microLEDs an attractive option for a variety of applications. Coupled with the growing adoption of AR/VR, wearables, and automotive displays, microLEDs are poised to become the next big thing in display technology.

A recent study underlines this possibility, as microLED displays are set to become a $325 billion industry by the end of 2033, growing at a staggering CAGR of 75% between 2024 and 2033. 

This article examines the present contours of the microLED market to understand why it is poised for significant growth.

What Makes MicroLED Displays So Appealing?

Despite their widespread adoption, OLEDs and LEDs typically have several downsides—burn-in risk, low brightness, lesser color accuracy, and suboptimal energy efficiency. 

Let’s look at how microLED display technology effectively addresses many of the downsides:

Miniaturized Pixels

The independent light-emitting characteristics, coupled with miniaturized pixels, are the primary factors behind the burgeoning demand for microLED displays. These miniaturized LEDs offer two distinct advantages:

  • Better and higher color contrast and brightness.
  • Improved color reproduction and dynamic response.

Additionally, the high-density LED array allows every pixel to emit light individually, offering a more realistic image effect. 

Accurate Brightness Control

What makes microLED display mode so unique and efficient is the combination of small LED chip with a thin film transistor (TFT) drive substrate, allowing efficient and accurate brightness control for every chip. 

Wider Color Gamut

The current and future generations of microLEDs leverage the benefits of quantum wells (QWs) and 3D LED designs for seamless RGB color conversion paving the way for better color accuracy and compact display architecture. 

These breakthroughs coupled with the minute size of microLEDs play an important role in improving display clarity and wider color gamut. 

Additional benefits include unparalleled resolution extending to around 6,800 pixels per inch (PPI) and accurate control of each pixel that provides a much better presentation of different colors. 

More Longevity and Durability

MicroLEDs have a longer lifespan compared to OLEDs, as they are less susceptible to burn-in and degradation over time due to their inorganic materials. This makes them more suitable for various applications, including those requiring long-term use.

Higher Energy Efficiency

MicroLEDs provide better energy efficiency than OLEDs and LCDs, particularly in high-brightness scenarios. This is crucial for portable devices where battery life is a concern.

MicroLED Market: Growth Trajectories and Key Applications

Now, the question is: Will microLED displays conquer the market or will the hype around them mellow down? Let’s find out. 

1. Soaring Adoption in Consumer Electronics 

It appears that microLED displays will feature in wearables, including smartwatches, fitness trackers, and AR/VR headsets. Furthermore, major microLED players are either expanding their current production capacity.

For example, companies like AUO and PlayNitride are exploring microLED mass production and integration of this technology into wearables. 

VueReal, which primarily offers manufacturers microLED screens for the automotive sector, has doubled its production facility and is all set to enter the consumer market with its proprietary MicroSolid Printing. 

Here are some segments that are undergoing more microLED technology adoption:

Wearable Devices

Tag Heuer is poised to be the pioneer in launching microLED smartwatches, projected for 2024, leveraging AUO’s cutting-edge display technology

Augmented and Virtual Reality

Microsoft has filed a patent for a microLED display solution aimed at enhancing VR/AR/MR experiences, signaling its continued focus on advancing extended reality technologies.

To note, Microsoft and Magic Leap have also joined forces—the integration of Magic Leap 2 devices with Microsoft Teams opens doors for enhanced collaboration across various fields, enabling remote experts to seamlessly share and interact with 3D designs. 

TVs

Recently, Samsung has launched its microLED TVs, which feature modular designs allowing for customizable screen sizes.

Likewise, LG is exploring microLED technology for its next-generation displays, focusing on enhancing picture quality and energy efficiency.

2. Automotive Sector to Drive Demand for MicroLED Displays

Apart from the consumer electronics segment, microLED displays are likely to gain more traction across the automotive industry.

HUDs

Manufacturers are exploring the idea of using microLED screens to develop head-up displays (HUDs) to create a more immersive and personalized driving experience. 

For example, MojoVision has joined hands with CY Vision to develop next-generation AR-driven HUDs.

Infotainment System Displays

In January 2024, Tech company Continental showcased world’s first automotive display powered by microLEDs. This could set the foundations for minimalist display options in luxury cars.

3. Commercial Use

Here are some potential applications in this segment: 

Digital Signage 

MicroLED technology is being adopted in commercial applications such as digital signage and advertising displays for its ability to deliver bright images in various lighting conditions.

Gaming

It can deliver enhanced visuals in VR games with realistic lighting, textures, and detailed environments. 

4. Application in Medical Science

MicroLEDs show promise in both optogenetics and brain-machine interfaces. They can enable precise control of neuronal activity in optogenetic studies and have been utilized in the development of advanced neural probes. 

5. Manufacturing Innovations to Catapult Growth of MicroLEDs

Manufacturers who have realized the potential and scope of microLEDs have doubled down on the production of microLEDs. 

For example, Tianma showcased its latest microLED prototypes at Displayweek 2024 such as transparent displays, automotive displays, and displays on wearable devices. 

Similarly, Innolux’s large 106″ tiled microLED TV display along with other microLED display prototypes were also displayed at the event. 

Major Roadblocks that Could Hinder Adoption of MicroLEDs 

Although microLEDs have generated significant excitement over the past few years, there are a few hurdles that could hinder the growth of the microLED industry. 

Technical Challenges

As manufacturers in the consumer electronics space look forward to catering to the rising demands for 8K resolution, their journey involves a few technical hurdles. 

For instance, it takes a placement accuracy of ±1 µm in under ten minutes to manufacture a microLED 8K resolution display economically which is typically around 7680 pixels by 4320 pixels. 

However, the existing mass transfer technologies aren’t capable of leading to prolonged production cycles. 

Yield Rates 

The manufacturing process is highly sensitive, with even minor defects leading to significant yield losses. For example, a display with a 99.99% yield can still have over 1,000 dead pixels in a 4K screen.

Red MicroLED

The difficulty in producing red microLEDs with the same efficiency as green and blue has posed a significant challenge for manufacturers. Companies are experimenting with different substrate materials and manufacturing processes to address this.

Wrapping Up

As things stand, it is clear that microLEDs will revolutionize the display market and assert themselves as a superior alternative to existing technologies including OLED and LCD. 

The unmatched energy efficiency, brightness, and applications in different industries including automotive, consumer electronics, and AR/VR will drive the demand for microLEDs worldwide in the next decade. 

Additionally, manufacturers are also expanding their production capacity to fulfill the increasing demand, setting a solid foundation for the growth of the microLED displays market.