It spent $1.54 million developing the screen and plans to start producing it in the second-half of 2002. It expects its sister company Samsung Electronics to build it into an "e-book" computer.

Samsung SDI says the new screen also consumes less power than existing screens.

"This product will enable us to expand our market share in the e-book computer display market whose growth potential is explosive," said Yang Hong-keun, who heads up the development.

Samsung sees potential sales of flat panels for electronic books at 24,973 units this year.

"It may become profitable in the long run, but I wonder how it could help Samsung increase its revenue in the short term," said Lee Seung-woo, an analyst at Shinyoung Securities.