Japan Display on Wednesday said it planned to begin production of new display panel components it says can significantly lower power consumption and extend the battery life of smart watches and other consumer electronics.

The maker of small displays used in smartphones, cars and other products is in “discussions with multiple customers and plans to start mass production from 2024,” the company, which counts Apple among its biggest customers, said in a news release.

Japan Display, which expects an operating loss of JPY 11.3 billion (roughly Rs. 700 crore) in the year ending March 31, has struggled amid tough competition and as customers shift to organic light emitting diode (OLED) displays. More recently, it has had to curb production because of semiconductor shortages.

Covered in tiny transistors, the component, known as a backplane, makes up one of the layers in an LCD. They are also used in OLED panels.

Japan Display says its new backplane consume as much as 40 percent less power than conventional components and also improves screen resolution making it suitable for virtual reality devices.

The company said it expects the new display component to generate JPY 50 billion (roughly Rs. 3,120 crore) in sales annual within five years.

© Thomson Reuters 2022