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Bloomberg: Samsung can become the exclusive supplier of OLED displays for iPhone

Apple seems to have really decided to abandon the use of LCDs for the iPhone in favor of OLED. According to the newspaper Bloomberg, the South Korean company will be the exclusive supplier of panels OLED of this type for the company from Cupertino. Thus, the years of animosity between Apple and Samsung, apparently, will soon be left behind.

The relevant negotiations are already underway. Especially for Apple, Samsung plans to allocate a separate production line at its plant in Asan, in South Korean province of chungcheongnam-do. Thus to provide the necessary volume, the South Korean firm may have to expand production. The fact that last year Apple shipped 231 million iPhones, while Samsung Display (85% owned by Samsung Electronics) produces only about 3 million OLED displays per month. To expand production, according to analysts, will need at least 8.7 billion dollars.

However, these costs will be repaid, and not only due to the cooperation with Apple. After the release of the iPhone with OLED screens in 2017 to other producers wishing to remain competitive, there will be nothing how to use these screens in their smartphones.

According to sources familiar with the matter, Apple and Samsung Display must enter into a contract for the supply of next year’s 100-million to 5.5-inch OLED panels. They will probably find their application in the iPhone 7s Plus.

According to the source, go to the displays using organic light-emitting diode may be a chance for Apple to revive iPhone sales, which had declined in recent years.

Read also:   Apple has invested $4 billion in manufacturing OLED displays for the new iPhone

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