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An advanced method for externally compensating the nonuniform electrical characteristics of polycrystalline silicon thin-film transistors (TFTs) and the degradation of organic light-emitting diode (OLED) devices is proposed, and the method is verified using a 14.1-in active matrix OLED (AMOLED) panel. The proposed method provides an effective solution for high-image-quality AMOLED displays by removing IR-drop and temperature effects during the sensing and displaying operations of the external compensation method. Experimental results show that the electrical characteristics of TFTs and OLEDs are successfully sensed, and that the stained image pattern due to the nonuniform luminance error and the differential aging of the OLED is removed. The luminance error range without compensation is from -6.1% to 9.0%, but it is from -1.1% to 1.2% using the external compensation at the luminance level of 120 cd/m2 in a 14.1-inch AMOLED panel.