Founded in 2000, New York-based eMagin produces small-sized OLED panels for augmented reality (AR) and virtual reality (VR) applications.
The two companies entered into a definitive merger agreement, according to eMagin Wednesday. The transaction is expected to close by the latter half of the year.
AR/VR headgear needs to deliver high-resolution images within a limited-size microdisplay. eMagin’s Direct Patterning technology named dPd enables full-color microdisplay with improved energy efficiency and color gamut, according to the company.
The VR headset market was valued at $7.8 billion in 2022 and is projected to grow 30.6 percent per year on average by 2030, according to Grand View Research.
“By teaming with Samsung Display, we will be able to achieve the full potential of our next-generation microdisplay technology with a partner that can provide the resources and expertise we will need to scale production,” said eMagin CEO Andrew Sculley.
“We expect extended reality devices to have significant growth potential in the future,” said Samsung Display CEO Choi Joo-sun, “and eMagin’s technology in this space will enable Samsung to offer innovative products to more customers and strengthen its XR-related business.”
Samsung Display is a display panel supplier 84.8 percent owned by Samsung Electronics.
Samsung Electronics is currently developing its own AR/VR headset with Google and Qualcomm. Apple is also expected to introduce its highly-anticipated headset product as early as this summer.
BY SHIN HA-NEE [email@example.com]