According to Taiwan media reports, in order to seize the business opportunity of Miniled backlight and layout the vehicle-mounted application market, the backlight module factory Ruiyi will increase its capital expenditure multiple times this year to expand the capacity of new products. Because Apple will launch MINILED backlit MacBook this year, Ruiyi starts to tidy up the idle plant in Kaohsiung and build the mass production line of MINILED backlit. In addition, in recent years, Taiwan panel factories in Taiwan area to expand the layout of vehicle-mounted panel modules, Ruiyi will also set up vehicle-mounted product production lines in Taiwan area, nearby service customers.
In 2020, Ruiyi's capital expenditure is only NT $300 million to NT $400 million, the lowest in recent years. There is no new capacity investment, and the main focus is on the maintenance and upgrading of existing equipment. As for Miniled backlight products, the company did not invest in a large scale last year due to the careful assessment of customer needs and market trends.
However, Apple has introduced several new products into the Miniled backlight this year, among which the 12.9-inch iPad Pro will be unveiled at the end of the first quarter. The panel and backlight module are both obtained by the Korean supplier, and the 14-inch and 16-inch MacBook Pro will be launched at the end of the second quarter. The panel supplier is LGD, and the backlight module supplier is Ruiyei.
The mass production of large customers is approaching, and it is expected that other brands will launch MINILED backlit laptop and tablet computer this year. Ruiyi will change its conservative attitude in the past and significantly increase capital expenditure this year to invest in MINILED backlit mass production equipment and seize the business opportunities of MINILED. Ruiyi said that capital expenditure will increase significantly this year, mainly including investment in Miniled equipment, capacity expansion of vehicle products and maintenance and upgradining of existing equipment. As for Miniled backlight products, the company did not invest in a large scale last year due to the careful assessment of customer needs and market trends.
However, Apple has introduced several new products into the Miniled backlight this year, among which the 12.9-inch iPad Pro will be unveiled at the end of the first quarter. The panel and backlight module are both obtained by the Korean supplier, and the 14-inch and 16-inch MacBook Pro will be launched at the end of the second quarter. The panel supplier is LGD, and the backlight module supplier is Ruiyei.
The mass production of large customers is approaching, and it is expected that other brands will launch MINILED backlit laptop and tablet computer this year. Ruiyi will change its conservative attitude in the past and significantly increase capital expenditure this year to invest in MINILED backlit mass production equipment and seize the business opportunities of MINILED. Ruiyi said that capital expenditure will increase significantly this year, mainly including investment in Miniled equipment, capacity expansion of vehicle products and maintenance and upgrading of existing equipment.
In the past two years, Ruiyi has been actively working in the car application market. In addition to cooperating with JDI Group's JJTA, Ruiyi has also entered into European and American car manufacturers. It was originally intended to ship in large quantities in the second half of last year, but due to the impact of the epidemic, the mass production schedule was delayed. According to Ruiyi, the shipments of vehicle-related apps will be about 100,000 in 2019 and double to 200,000 in 2020. It is expected that there will be multiple growth in shipments as a number of new products are mass-produced in 2021.