South Korea’s LG Display said it will invest 1.99 trillion won (A$2.36 billion) to boost capacity for flexible organic light-emitting diode (OLED) displays, in a bid to meet growing demand from mobile device makers.

LG, the world’s largest maker of LCDs, has been focusing on making OLED screens for televisions, but trails Samsung Display, the largest maker of OLEDs for smartphones.

OLED is widely expected to replace liquid crystal displays (LCD) for smartphones as the standard technology in the next few years, offering flexible displays that can be curved or folded.

LG is building a new production line for small-medium sized flexible OLED screens in South Korea.