First iPhone 5G shipments will not include BOE OLED panels due to validation failure

Apple expected to use OLED panels from display maker BOE for some of the iPhone models coming in 2020, but BOE will not be a supplier for the first batch of panel shipments for the new iPhones due to manufacturing issues.

According to DigiTimesBOE was unable to secure Apple validation for OLED displays.

Apple plans to launch four iPhone OLEDs this year, with a size of 5.4 inches, 6.1 inches (x2) and 6.7 inches. The 5.4-inch ‌iPhone‌ and a 6.1-inch model will position themselves as more accessible successors to the iPhone 11, while the other 6.1-inch ‌iPhone‌ and 6.7-inch model will be “Pro” devices that will follow the iPhone 11 Pro.

Samsung Display will be the leading provider of OLED panels for all new iPhones, while BOE and LG Display developed OLED displays for the entry-level 6.1-inch 6.1 entry-level iPhone model. BOE is solving the quality problems that affect its manufacturing and expects to start shipping OLED panels to Apple in the fourth quarter of 2020.

LG Display will regain slack and plans to increase shipments for the 6.1-inch model, shipping 23 to 25 million units from the originally planned 18 to 23 million. Samsung Display is expected to ship 18-20 million units for the 5.4-inch ‌iPhone‌, 16-18 million for the high-end 6.1 ‌iPhone‌, and 22-24 million units for the 6.7-inch ‌iPhone 6.7 high-end.

BOE’s failure should not have a significant impact on the release date of Apple’s iPhones 2020, as Apple can rely on Samsung Display and LG Display. Other factors may delay this year’s ‌iPhone‌ lineup somewhat, and there have been rumors suggesting some or all of the iPhones might be announced in September and released later, perhaps in October.

BOE began manufacturing flexible OLED panels by volume in 2019, but its performance rate is barely reaching around 20 percent at the current time, which Apple cannot work with.

BOE is now trying to improve its throughput rate by combining the front-end process of its fab B7 and the back-end process of the B11 line, sources said, noting that fab B7, also located in Sichuan, started production. in volume in 2017 and since then its rate of return has increased to about 70-80% recently.

If BOE’s efforts to improve throughput are successful, it could send Apple around two million OLED panels in 2020, but that’s the best case scenario.

DigiTimesThe report confirms rumors in early June that BOE had failed to deliver its first shipment of OLED panels for Apple’s iPhone 12 due to the inability to pass OLED quality control tests.