OLED Screens - What the hell is the "O" doing?

I was chatting with a friend the other day on (Trillian) Astra about the recently announced ZuneHD and he said "so. oled?" and it only dawned on me at that point that this is a technology that...

1. Hasn't hit vernacular in the way LED has

2. Isn't being marketed at all, just said, its different than LED it must be better, right?

3. My fellow IT counterparts know what this thing is!

Samsung is somewhat pioneering use of this technology in a TV they unveiled awhile ago, but has yet to hit the market. The recently announced ZuneHD appears to be making use of said technology touting quite loudly that it uses an OLED screen. So just what the hell is OLED and whats the difference between it and its LED counterparts?

Light Emitting Diodes (LED)...
were invented back in 1927 after Oleg Vladimirovich Losev (I don't want to try pronouncing that) noticed that diodes used in radio receiver emitted light when a current was passed through them. That's just a short history lesson, LEDs are small, bright, and most importantly, cheap. If you connect enough together you can create those giant theatre screens. Best of all they have an amazing lifespan, roughly between 3.9 and 5.7 years! They produce more light than the traditional lightbulb, they can be made to produce naturally different colors (not a shade placed over it, like a regular bulb), and are far more durable than the typical light bulb.

Organic Light Emitting Diodes (OLED)...

I'm going to try my best not to make this explanation overly technical. Whew, ok, here goes. As opposed to LED's which have to be made specific colors at inception, an OLED is actually a series of layers (see the picture at the top) that creates a matrix of pixels, that can then be called/tuned at will. It's the difference of picking a color at inception vs. just building all colors into the LED. Hopefully I don't get blasted for having oversimplified that too much. So that's what they are, what makes them so great? OLED's don't require a backlight, thus they draw far less power. Not to mention, if they don't need a backlight that means one thing the devices they go into. Form factor. Devices can be uber-thin, so thin it will make your LCD displays look like CRT's. Ok, maybe I went a bit far with that. But these things are thin! So if this thing is so great, how come it's not being used? Current estimates give OLED's a life of about 5 years, if used 8 hours everday. This is actually the complaint. I don't think it's that big of a deal, the same friend who asked me this question concluded this whole discussion with

"i mean, even my ipod mini isn't 5 years old and its ancient tech at this point."

Think about it, is it really that big of a disadvantage? The pros outweigh the cons (for me at least) I want OLED devices and still can't wait to get my hands on a ZuneHD.