Samsung will spend about $9 billion on the iPhone
02.04.2017 0 Comments
Samsung, a leading manufacturer of OLED panels, is preparing to increase production of OLED displays in anticipation of the launch of the iPhone 8, the release of which is expected in September 2017. According to the newspaper the Investor, the company invests about $8.9 billion ($10 trillion won) in a large-scale expansion in the production of panels for organic light emitting diode and the transition with the release of LCD production to OLED.
In February it was reported that Samsung has received an order to supply an additional 60 million OLED displays for the next-generation iPhone. According to sources, in 2016 Apple has ordered from Samsung Display about 100 million OLED displays for the iPhone 8. Given that Apple sells about 200 million smartphones per year, it turns out that Samsung Display will supply Apple, at least 80% of the OLED panels of the total. The cost of the order to manufacture 60 million displays is 5 trillion won ($4.3 billion).
Citing industry sources, the expert said that this year, Samsung Display will start production on their OLED lines for the production of LCDs in South Korea, closed at the end of last year. It is expected that the transition to OLED products will provide the company profitable growth.
Samsung Display is the market leader in OLED screens for smartphones with a share of 95%, and in the future the company intends to take the position. The source reported that the supply of screens for the iPhone 8 also claims LG Display, but to rely on the contract it can only in 2018.
From the beginning of the line iPhone uses LCD displays that deliver LG Display, Sharp and Japan Display (previously, Apple also collaborated with Samsung Display). While Samsung uses OLED displays: they can be found in 70% of the models of smartphones, including the flagship in the line of Galaxy S.