Kopin, Xitai Technology Micro OLED production lines report new progress

Recently, two micro-display companies, Kopin and Xitai Technology, have received news about the latest production line construction. Among them, Kopin announced that it will establish a full-size Micro OLED display mass production line in the United States; and Xita Technology Nanchong’s 12-inch Micro OLED display mass production line is more than half way through the construction process.

Kopin announced the establishment of a Micro OLED display mass production line in the United States

On May 11, the American microdisplay technology company Kopin announced that the company purchased advanced OLED deposition systems and related equipment and will establish a full-size Micro OLED display production line at its Westboro headquarters. The company will transition from a fabless production model to in-house physical manufacturing to meet the growing demand for locally produced OLED devices for U.S. defense applications.

In the past few years, Kopin has been adopting a fabless OLED production model. However, the surge in demand for "completely made in the United States" Micro OLED displays in key defense applications such as first-person view (FPV) drone systems and thermal imaging weapon sights has prompted the company to accelerate the construction of local manufacturing capabilities.

Kopin brings high-throughput, fully automated equipment in-house, which can improve the company's production response speed and flexibility, and effectively control quality and cost, which is expected to expand overall profit margins. In the future, while providing local Micro OLED production capacity for the U.S. defense market, Kopin will continue to cooperate with Asian and European foundry partners to meet the needs of consumer, medical and NATO defense orders that do not require localized production.

While announcing the capacity expansion, Kopin also announced its unaudited financial results for the first quarter ended March 28, 2026. Data show that the company's total revenue in the first quarter of 2026 was US$10.6 million, a slight increase from US$10.5 million in the same period last year. In particular, revenue from Micro LED government-funded projects and AR and thermal imaging strategic cooperation projects has effectively offset the decline in product revenue caused by the decline in shipments of thermal imaging weapon sights and other products.

It is worth noting that in the first quarter of 2026, Kopin ushered in a major turning point in business expansion. The company announced a strategic cooperation with Fabric.AI to jointly develop optical interconnect technology based on Micro LED to replace the traditional copper wire connection between GPUs and high-performance processors in AI data centers. This cooperation not only brought the company an initial development order of US$15 million, but also gave it a 19.9% stake in Fabric.AI, officially opening the door to the AI hardware market.

In addition, Kopin continues to maintain strong momentum in the core defense market. With an initial order of US$3.2 million, the company officially entered the FPV drone market with Sentinel FPV. Afterwards, Kopin also won a US$21.5 million contract for the subsequent production of thermal imaging eyepieces, a US$5.6 million order for European pilots’ helmet-mounted displays, and a new round of contracts from the US government for Micro LED.

Michael Murray, CEO of Kopin, said that whether it is entering the fast-growing AI data center interconnection market or achieving local Micro OLED manufacturing capabilities, these profit-oriented strategic investments will provide a solid foundation for the company's long-term sustained growth.

With a total investment of 2.5 billion, the construction progress of the Xita Technology Nanchong micro-display project is more than half

On May 12, the Nanchong People's Government reported that after the independent factory was successfully capped in January this year, the construction progress of the Xita Technology Nanchong 12-inch silicon-based OLED micro-display industrial park project continued to accelerate, and the total project volume has exceeded 60%.

Picture source: Nanchong People's Government

The project is currently advancing the clean decoration project, and the overall decoration progress is 30% complete. The project strives to complete 90% of the total project volume by the end of June this year, achieve overall completion by the end of August, and complete the entry of production equipment by the end of September. It is expected to be officially put into production in the second quarter of 2027.

It is reported that the total investment of the project is 2.5 billion yuan, covering an area of 125 acres, and the total construction area is about 60,000 square meters. The production line will use global advanced semiconductor equipment and software systems, and integrate AI quality inspection, digital twin and other technologies. It will focus on the construction of Xita Technology’s second 12-inch silicon-based OLED production line, which will engage in the production of silicon-based OLED micro-display devices. The project is designed to have a monthly production capacity of 6K wafer.

After the future project is completed and put into production, Xitai Technology will have one 8-inch and two 12-inch Micro OLED micro display and supporting module production lines.

In addition, in April this year, Xitai Technology’s global IC R&D center and display module project began construction in Tianfu New District, Meishan, Sichuan. The project has a total investment of 1.613 billion yuan and covers an area of 108 acres. It will build a global IC R&D center, production plants and multiple Micro OLED module production lines.

The first phase of the project is planned to be put into operation in June 2027, and the second phase will add a module production line and an OEM complete machine production line. Once completed, it will have an annual production capacity of 10 million display modules and 3 million OEM units. After completion, Xitai Technology will form a full industry chain of chips-devices-modules-complete machines.