Apple's new $4.3 billion OLED display order to Samsung comes at $70 apiece, far cry from the $40 iPhone 7 panel

Apple's new $4.3 billion OLED display order to Samsung comes at $70 apiece, far cry from the $40 iPhone 7 panel
Back in April last year, we learned that Apple has secured a three year contract with Samsung to supply as many as 100 million OLED display panels in total. Given that just the purported OLED iPhone 8 is now expected to generate sales as high as 70 million units overall, Apple has now reportedly added extra 60 million flexible OLED screens to the contract, at the whopping cost of $4.3 billion. 

That's $71 per panel, which is a huge jump from the $40 screens Apple currently uses in the iPhone 7, and will inevitably contribute to the rumored $1000+ price of the upcoming anniversary edition. This also jibes with today's rumor that Samsung may be printing more OLED displays for the Galaxy S8 than the initial batch sales forecast, as it is trying to ensure adequate supply, provided that Apple's supply contracts have to be enforced in full, and the OLED machines bogged down for that in the next quarter or two.

source: The Investor

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49 Comments

43. patroni0

Posts: 57; Member since: Mar 26, 2012

I really hope the iPhone with OLED screen is not over $1000 retail, that would be absurd, as a massive iPhone fan that would be over the tipping point for me

38. jeroome86

Posts: 2314; Member since: Apr 12, 2012

Stop it PA. The expert will show up. Good grief. Too late. He's already here. Ugh.

33. Rampage_Taco

Posts: 1128; Member since: Jan 17, 2017

Pays extra $30 for screen, Charges customers extra $300. That's how you make profit right there

37. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Yep because stupid people will buy. When i paid $900 for my S6 edge+, i said never again. But then i bought the Note 7. These pho.es are not worth $800+. My Note 7 needs to last because i may not get the next one. I usually upgrade every year because inuse TMobile lease optiom where it costs me nothing to upgrade. But its still expensive even if its tax deductibld in my case.

39. Rampage_Taco

Posts: 1128; Member since: Jan 17, 2017

So the cost of your phone is tax deductible? Is it a work phone? Even though the Note 7 was $850 it justified the price more than iPhones, especially when you throw in the promotional gift Samsung gave out with them.

21. tokuzumi

Posts: 2029; Member since: Aug 27, 2009

And the consumer price for replacements is going to be $150+

10. abdoualgeria

Posts: 928; Member since: Jul 27, 2015

Q4 2017 is lookin good $$ for samsung lol

8. abdoualgeria

Posts: 928; Member since: Jul 27, 2015

Cant wait to see burn ins on the iphone 8 ......

16. tedkord

Posts: 17529; Member since: Jun 17, 2009

You'll likely have a hella long wait. Never seen any burn in on any of the AMOLED devices I've owned, including the Galaxy S3 I used daily for over 3 years.

17. HomerS

Posts: 419; Member since: Sep 19, 2014

I have two Samsung phones the Galaxy S1 since 2010 and Note 4 since 2014 and both dont have any burn ins.

6. medicci37

Posts: 1361; Member since: Nov 19, 2011

I have a 5.2 inch 1080p led screen in my $200 Axon mini that I'm sure didn't cost $71 I don't understand why these amoled screens are that expensive?

20. JumpinJackROMFlash

Posts: 464; Member since: Dec 10, 2014

LOL! Beacuse it's a much higher resolution, better quality, bigger screen based on a very new technology that has to recoup R&D and fabbing costs. You could say this even more about current iPhones as they're just overpriced commodity parts.

5. notfair

Posts: 785; Member since: Jan 30, 2017

Can't wait to see how apple will name the amoled screen made by samsung.

7. Iodine

Posts: 1520; Member since: Jun 19, 2014

Apple watch has a Retina display. Sometimes called "flexible" because it's flexible. iPhone has Retina HD (with 3D touch ?), iPad got a Retina, iMac has a Retina 4K/5K display and MacBook (s) have Retina display. I dare to say that the next iPhone will have a Retina display. And it will be top noth like it's predecessors.

9. abdoualgeria

Posts: 928; Member since: Jul 27, 2015

What you're talkin about man ?!! Apple watch has amoled made by samsung ( the touch bar in the mac book pro too btw )

13. Iodine

Posts: 1520; Member since: Jun 19, 2014

I tried to respond to a coment above. (N. 5) By taking a look back I assumed Apple will call its next gen display "Retina display". It's so hard to understand ?

45. sgodsell

Posts: 7679; Member since: Mar 16, 2013

The Apple watch is using LG's POLED display. LG's plastic OLED has improved over the years, and has become a lot better, and is very efficient today.

23. BlackhawkFlys

Posts: 932; Member since: May 07, 2014

I thought iPhone had the retina display since the iPhone 4.

36. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

1920x1080 is not a retina display. Uts a standard resolution. Apple PPI at 405 is less than other phones at similar size. Like the S5, which has a better camera, higher IP rating and more.

24. ctdog4748

Posts: 797; Member since: Mar 05, 2016

But designed and engineered by Apple. I'm guessing not many forum members work in the technology sector, there seems to be be a dearth of real knowledge.

40. iushnt

Posts: 3189; Member since: Feb 06, 2013

This display will be designed and engineered by Samsung. I can bet on that.

47. ctdog4748

Posts: 797; Member since: Mar 05, 2016

You will lose that bet.

4. Nathan_ingx

Posts: 4769; Member since: Mar 07, 2012

I see the future. And the future is not cheap.

3. Zylam

Posts: 1827; Member since: Oct 20, 2010

All the Samsung fanboy's pray for Apples demise, yet they don't have the ability to comprehened how much of a financial loss it would be for their beloved Samsung if Apple were irradiated today.

12. TheOracle1

Posts: 2340; Member since: May 04, 2015

True. But has it occurred to you that Samsung would also take a larger chunk of smartphone sales if Apple were "irradiated"? There's a silver lining in every cloud!

25. kiko007

Posts: 7525; Member since: Feb 17, 2016

$695 vs. $245. Those are the average CPPs of the two companies phones. The majority of people buy the cheapest of Sammy's offerings, and I highly doubt that would change anytime soon.

28. Finalflash

Posts: 4063; Member since: Jul 23, 2013

Well of course they will buy the cheaper offerings. I mean they do as much as most Apple devices so why pay more. I mean you can pay more for the "best" in class camera of the Pixel or S7, or the best in class video recorder of the LG G5 and so on. Or you could buy a middle of the road "meh" phone like an iPhone and pay 3 times as much (even though most people get it on contract and pay...surprise surprise....$200).

14. tedkord

Posts: 17529; Member since: Jun 17, 2009

Not praying for Apple's demise, just praying they'll stop suing people over things they stole themselves. They have gotten much better with Cook. It's refreshing to see an adult running Apple.

15. HomerS

Posts: 419; Member since: Sep 19, 2014

Then other companies would buy the displays, as now their demand cannot be fullfilled as Samsung delivers the displays to Apple.

48. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

I actually not in favour of Apple buying up the OLED supplies. This would make the panel more expensive for other OEM and also greatly limit their ability to make large OLED screen phone or tablet. Its also not exactly advantageous to iOS user if Apple is going to charge much more for their iPhone. I think a large chuck of user are fine with their current iPhone display.

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