Apple is expected to launch a fully OLED iPhone line this year, and while it is understood that Samsung is providing the majority of OLED panels, LG Display is about to take full advantage of the additional demand, with the volume of orders from Samsung increasing only slightly in previous years.
Of the four new models to be launched this year, rumors have indicated that Samsung will supply the displays for three models: the 5.4-inch, inchiPhone 12 entry-level models and the 6.1-inch, 6.7-inch “iPhone 12 Pro” models. . Samsung reportedly plans to ship 30-35 million screens for the 5.4-inch model and 15-20 million screens for each of the high-end 6.1 and 6.7-inch models. Meanwhile, LG Display is expected to supply 20 million screens for the low-end 6.1-inch model.
LG Display’s contribution is five times the volume of the previous year, according to a new Nikkei report. That’s great news for a division that has suffered six consecutive quarterly losses, and LG Display believes this will dramatically improve its finances in the second half of the year as its OLED panel factories start operating at full capacity.
It is also positive news for Apple, as it aims to diversify vendors after paying high fees for Samsung displays. After failing to meet proyectaiPhone projected sales in the second quarter of 2020, Apple was forced to pay Samsung an estimated $ 950 million for missing the purchase targets for the OLED panel. Apple reportedly supports LG OLED development in part to reduce acquisition costs and eliminate Samsung’s monopoly on the display standard.
How Nikkei However, there is no guarantee that Apple will continue to favor LG Display, which supplied Apple with LCD panels for the iPhone 11 last year, but was unable to improve the performance of its OLED panels and did not fully meet summer delivery targets. earlier, which supposedly infuriated Apple.
Rival Chinese manufacturer BOE has also improved its OLED technology in part by hiring former Samsung engineers, and Apple has begun evaluating production quality at BOE plants in the Chinese cities of Chengdu and Mianyang. An earlier report even suggested that BOE would supply a couple million OLED displays for the low-end 6.1-inch iPhone 12, but NikkeiSources indicate that the BOE panels could be adopted next year, which is good news for LG Display this year, but it would lessen its role as the main alternative to Samsung in 2021.