Apple Has Selected LG to Be Its Second Supplier for OLED Panels Albeit in a Smaller Capacity

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Sep 14
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LG has received a thumbs up from Apple to supply flexible OLED display panels for the upcoming iPhone XS and iPhone XS Max. Apple had long been planning to bring the Korean manufacturer onboard as the second supplier of OLED panels to reduce its reliance on its sole OLED display panel provider and biggest competitor in the smartphone industry, Samsung.

LG Display Reportedly Providing Between 2-4 Million OLED Screens to Apple for the 2018 iPhone Lineup

Unfortunately, Apple was forced to reconsider the partnership when LG ran into some manufacturing issues. LG’s sixth-generation flexible OLED display panels have apparently now cleared a series of quality tests and the company is now gearing up for mass production on one of its plants.

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Since the launch of iPhone X, Samsung has been the sole supplier of OLED displays and it could leverage its monopoly status to charge high premiums but now that LG is on board, Apple can get the panels more quickly and might even be able to negotiate cost cuts. According to reports, LG will provide between 2 million to 4 million OLED panels to Apple, whilst trying to increase its capacity.

This is modest compared to the Cupertino giant’s initial deal with Samsung, under which 100 million OLED displays were to be supplied for last year’s iPhone X. However, Samsung reportedly had to cut its OLED production when iPhone X sales didn’t live up to expectations and the Korean giant was left looking for additional clients to do something with its excess supply.

Apart from the fact the company has a smaller production capacity, LG’s OLED display panels that were seen on its V30 had nothing on the OLED displays Samsung uses in its Galaxy smartphones in terms of colour accuracy, sharpness, quality, etc.

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Apple introduced two new OLED iPhones, the 5.8-inch iPhone XS and the 6.5-inch iPhone XS Max, both of which were followed by the 6.1-inch LCD iPhone XR earlier this week. The iPhone X released last year also sports an OLED display panel, but following the release of the new lineup, it has been discontinued, sadly.

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Source: ETNews

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