On May 27, Seer Technology unveiled its intention to supply silicon-based OLED microdisplays to its affiliated entity, Goertek Optics Hong Kong, with the projected annual transaction value capped at 1.6 billion yuan. The company clarified that this deal is driven by the requirements of a "specific customer" project, with the customer specifically designating Goertek Optics Hong Kong as the purchasing party.

For a firm that generated annual revenue of merely 513 million yuan in 2025, the projected value of this single related-party transaction, which surpasses three times its previous year's revenue, is highly significant. Should subsequent orders be executed seamlessly, Seer Technology is poised for a substantial revenue surge in 2026, a prospect that has drawn considerable market interest.

While the announcement refrained from naming the "specific client," sources have previously indicated that Apple is assessing display products from BOE and Seer Technology. Should the yield rates and production costs align with Apple's standards, the tech giant might consider incorporating products from both firms into its next-generation Vision Pro headset and a forthcoming budget-friendly headset (internally codenamed N109). Presently, the micro-OLED displays for the Vision Pro headset are solely supplied by Sony, which struggles to meet Apple's demand due to capacity limitations. It's noteworthy that the Apple Vision Pro was introduced in 2024 and is currently undergoing product iterations.

This significant order marks a pivotal transformation in Seer Technology's business landscape. Historically, the company has been in a high-investment expansion phase, marked by robust revenue growth but persistent losses. In 2025, revenue soared by 83.19% year-on-year to 513 million yuan, yet the net profit attributable to the parent company still recorded a loss of 212 million yuan. Even in the first quarter of 2026, despite revenue rocketing by 247.21% year-on-year to 176 million yuan, losses only marginally decreased.

The crux of the losses stems not from a lack of product competitiveness but from substantial upfront investments in fixed costs. Seer Technology is the pioneer globally in achieving mass production of silicon-based OLED microdisplays utilizing 12-inch wafer backplanes. Compared to traditional 8-inch production lines, the 12-inch process offers significant advantages in cutting efficiency and long-term cost savings but entails rapid asset expansion. By the end of 2025, the company's total assets had ballooned to 5.239 billion yuan.

The anticipated annual order of 1.6 billion yuan is expected to substantially improve this scenario: the attainment of economies of scale will dilute unit fixed costs, likely enhancing gross margins this year. The revenue surge in the first quarter of this year already alludes to this trend, and with orders gradually materializing in the latter half of the year, the company's profitability is poised for a qualitative leap.

Furthermore, the company issued a cautious risk warning in its announcement, stating that the 1.6 billion yuan figure is a reasonable estimate based on the customer's operational needs, with the final execution amount subject to variability.

However, given that Seer Technology has already forged a long-term cooperative relationship with a strategic client in the XR sector, which has demonstrated a strong inclination for continued collaboration, the actual execution of this 1.6 billion yuan order merits close scrutiny.

From a broader industry perspective, Seer Technology's breakthrough holds substantial indicative value for the optics sector. Silicon-based OLED technology necessitates the integration of semiconductor processes with OLED display technology, involving multiple high-precision steps such as photolithography, metal coating, and organic material evaporation, resulting in formidable technical barriers. This domain has long been dominated by overseas companies such as Sony and eMagin, which was acquired by Samsung Display.

Leveraging its proprietary core technologies, including advanced microcavity technology, crosstalk interruption technology, and stacked OLED full-color technology, Seer Technology's products achieve a contrast ratio of 600,000:1, a DCI-P3 color gamut coverage exceeding 99%, and a peak brightness of over 6,000 nits. These parameters underscore that Chinese companies now possess the technical acumen to compete with leading international players in the silicon-based OLED sector. Securing a spot in the supply chain of flagship products from global top-tier consumer electronics brands serves as compelling evidence of market validation for their technological prowess.

Presently, Seer Technology has already commenced shipments to terminal manufacturers such as ByteDance, Insta360, Thunderbird, and Lenovo. With the addition of this potential 1.6 billion yuan order from a global top-tier client, its customer base has further diversified, consolidating its market position.

The optics industry is on the cusp of a new technological cycle, with product iterations such as Apple's Vision Pro, Samsung's Galaxy XR, and Meta's Quest series all gravitating towards higher-resolution silicon-based OLED solutions.

Established in 2016 and listed on the STAR Market in 2026, Seer Technology has embarked on a decade-long odyssey. This 1.6 billion yuan related-party transaction announcement may represent the most pivotal document since its listing two months ago. It epitomizes Chinese companies' endeavors to breach the stronghold of high-end optical devices dominated by overseas giants: transitioning from technological breakthroughs to commercial validation, and from domestic substitution to global competition.

Looking ahead, Seer Technology will face scrutiny on its delivery capabilities and efficiency in ramping up yield rates. OFweek Optics will continue to monitor these developments.