Apple's Transition to OLED Technology: A Game-Changer for Supply Chain and LCD Screens
Apple's Bold Move to OLED Technology
Apple is poised to overhaul its iPhone lineup by exclusively using OLED technology, marking a major shift from traditional LCD screens. This transition, expected to finalize by early 2025, will impact Japanese LCD manufacturers like Japan Display (JDI) and Sharp, who have long been key suppliers of LCD panels.
The Supply Chain Challenge
- Current LCD suppliers facing exclusion from Apple's supply chain.
- Shift begins with the iPhone SE 4, pushing OLED displays into the budget segment.
- China's BOE Technology Group and South Korea's LG Display poised to supply OLED displays.
Technological Evolution in iPhones
The transformation started with the iPhone X in 2017, and now it culminates in the upcoming iPhone SE, which may feature:
- Design resembling iPhone 14.
- Integration of Face ID.
- Upgrade to a USB-C port and an A18 processor.
The last stronghold of LCD technology in Apple's range, the iPhone SE, is now preparing to join the OLED revolution, increasing its screen size from 4.7 inches to a larger 6.06 inches, with doubled internal RAM.
Market Implications
This strategic shift underscores the dwindling demand for LCDs, with sales for JDI and Sharp plunging from 200 million to merely 20 million units annually. As a result, JDI focuses on LCDs in automotive applications, while Sharp scales back its LCD endeavors.
With OLED technologies set to dominate the market, Apple’s supply chain dynamics are reshaping, paving the way for future innovations.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.