LG Electronics has jumped into the price cut competition on OLED TVs to challenge rival Samsung Electronics and preoccupy the market.

LG said Monday that it has lowered the price of its 55-inch, flat screen OLED TV from 11 million won to 9.9 million won ($8,900), and slashed its curved OLED TV from 15 million won to 10.9 million.

Customers who already purchased curved OLED TVs can receive a refund of the difference. The amount will be 3.1 million won as 1 million won was given as a cashback. There will be no compensation for the flat TV since the price has naturally lowered with the lapse of time, LG said.

“We decided to cut the price for market expansion, helping more consumers experience OLED TVs,” said Song Keun-young, an LG Electronics spokesman. On the sales figure of OLED TVs, he declined to comment.

Earlier this month, LG’s rival Samsung Electronics slashed the price of its curved OLED TV from 15 million won to 9.9 million won, down by 34 percent. The company had said the price cut came as a result of improved manufacturing yield. Samsung has not yet launched flat OLED TVs.

OLED TVs are known to be brighter, more efficient, and thinner, and feature better refresh rates than liquid crystal display TVs. As the OLED materials do not require a backlight, they can be applied for the production of flexible or transparent displays.

Due to the high price, however, OLED TV sales are reportedly less than one percent of the total TV market.

“The cut in price of both companies stemmed from a sense of competition rather than higher profitability. OLED TVs may take some time to replace LCD TVs in the market. The price should be slashed further for the mass public to use,” Uh Kyu-jin, a researcher at Seoul-based firm IBK Securities.

LG Electronics is slated to roll out Wednesday its curved OLED TVs at 8,999 euro during a special event at high-end electronics retailer HIFI Profis in Frankfurt, Germany.

By Shin Ji-hye (shinjh@heraldcorp.com)