The deal, the details of which have not been made public, was revealed by sources speaking to the market research firm Display Supply Chain.
"Multiple sources in Asia last week reported that Samsung Visual Display has agreed to a long-term supply agreement with LG Display for the supply of LCD and OLED display panels," said Display Supply Chain in a new post.
"Our sources have confirmed that the agreement is happening; the deal expands an existing relationship between the two Korean giants as both face fierce competition from Chinese players."
Samsung's outsourcing deal with LG was first reported by Reuters last summer. Although the earlier report continued much higher volumes with LG forecast to supply 2 million units to Samsung in 2024, and boost shipments to 3 million and 5 million units in subsequent years.
OLEDs will be used in Samsung's TV displays. The deal with Samsung is likely to help LG, which has been losing money because of the global downturn, which has weakened demand for electronics. According to Reuters, LG has been running its OLED factory below full capacity.