Lackluster iPhone X sales bad news for Samsung, iPhone Xs Plus may use LG OLED screens

Lackluster iPhone X sales bad news for Samsung, iPhone Xs Plus may use LG OLED screens
Rumors that this quarter may see a precipitous drop in iPhone X shipments, after the initial adoption ran its course, are starting to pile up from multiple analyst and supply chain sources. The latest installment in the iPhone-X-doesn't-sell-well saga comes in the form of a report that Samsung has cut its OLED production significantly, and put the brakes on building a new display plant.

As we know, Samsung is currently the sole supplier of the iPhone X's 5.8" flexible OLED panels, at $70 a pop, and has been hoping to capitalize on Apple's new OLED models coming this year, too. Its A3 plant that makes the screens, though, has allegedly cut production rates by 10% in January, after operating at full capacity for years, and industry sources are blaming diminished iPhone X panel orders which present almost 80% of the screens churned out by the factory. "Samsung is reducing operation at the A3 plant largely due to the remaining inventories for the iPhone X," they claimed on the condition of anonymity.

All eyes are now on the February and March production rate reports, to gauge whether the interest in Apple's first OLED iPhone is indeed subsiding faster than previously forecast. Not only that, but Samsung is reportedly putting a big new OLED plant it started building in Vietnam on hold for now, as it's not exactly clear what the OLED iPhone strategy will be this year. A drop in Apple's orders will hit Samsung's earnings as well, just after it announced a record $14 billion profit forecast.

Apple, in its turn, is reportedly looking to diversify its panel supply away from Samsung. There is plenty of info that it may turn to Japan Display for a flexible 6.1" LCD panel to be outfitted on a more affordable iPhone 9 in this year's crop. Such a screen will allow it to fit a notch cutout and a TrueDepth camera kit at a much lower cost than by using Samsung's pricey OLED panels. 

Furthermore, other industry sources tip that Apple has chosen LG to supply the larger, 6.46" OLED display of the rumored new iPhone Xs (or XI) Plus model that it is prepping for the fall, so Samsung may be left with only the orders for the iPhone X successor, it seems, which would explain the capital expenditures pause further. It won't explain the current production cuts, though, and analysts are no doubt very eager to hear Apple's revenue forecast for Q1 when it reports the Q4 results next week on February 1.

source: ETNews (translated) & The Investor

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iPhone X
  • Display 5.8" 1125 x 2436 pixels
  • Camera 12 MP / 7 MP front
  • Processor Apple A11 Bionic, Hexa-core, 2390 MHz
  • Storage 256 GB
  • Battery 2716 mAh(21h 3G talk time)

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56 Comments

1. razmahtaz001

Posts: 501; Member since: May 11, 2013

i have a total of 6 friends and co workers that are iphone fanatics...they all did not get the iphone x because of the notch at the top...that is the only reason they did not get it.

2. worldpeace

Posts: 3129; Member since: Apr 15, 2016

"iPhone Xs Plus may use LG OLED screens" That's more like "bad news for iPhone Xs Plus owner"

3. iushnt

Posts: 3086; Member since: Feb 06, 2013

Exactly, I still feel LG need a lot of catchup to do.

54. Skimshaddy

Posts: 126; Member since: Feb 23, 2016

Is it me or LG screens are not as bright as Samsung? Seems their phones screens are not as bright.

5. Trex95

Posts: 2380; Member since: Mar 03, 2013

It’s, but hope Apple fix lg OLED.

24. Anonymous.

Posts: 423; Member since: Jun 15, 2016

How exactly would Apple fix LG's OLED displays? They can't.

29. japkoslav

Posts: 1499; Member since: Feb 19, 2017

They can heavily invest in LG Amoled production. Many companies already did. Still, I own LG V30 and it's not even close to my friends Note 8. Let's hope LG can actually improve to match Samsung levels of quality.

44. mootu

Posts: 1500; Member since: Mar 16, 2017

They already have, to the tune of $2.7 billion. It's not made much difference but it's early yet. http://uk.businessinsider.com/apple-is-reportedly-investing-27-billion-in-lg-display-to-build-oled-panels-for-future-iphones-2017-7

50. Trex95

Posts: 2380; Member since: Mar 03, 2013

I meant burn in that shows on lg OLED panels. iPhone X comes with Samsung OLED and it does has better OLED panels than S8 and note 8 and more brighter.

52. japkoslav

Posts: 1499; Member since: Feb 19, 2017

Well better ... that is not so clear. Amoled screens made for iPhone are calibrated towards colour accuracy, they tend to blue-shift colours when viewing at an angle and they are a bit brighter. Samsung Amoleds are made with "colour popping" in mind and do not shift to blue as much as those made for Apple. I myself am colourblind and so I logically do not care so much for colour accuracy.

15. MarmiteTheDog

Posts: 191; Member since: Jul 31, 2017

Totally. LG's panels are nowhere near as good as Samsung's.

32. Furkan

Posts: 552; Member since: Feb 25, 2017

LG's OLED is not that bad. Also It is Apple. Apple definitely does something to make it better. There is no way Apple uses bad screens

38. Macready

Posts: 1817; Member since: Dec 08, 2014

Just check iMac and MacBook history using both LG and Samsung screens. It was a lottery system with a lot of bad LG screens.

51. Trex95

Posts: 2380; Member since: Mar 03, 2013

You need to check LG OLED smart tv and you will see how’s lg OLED panels suffers from burn in.

4. Trex95

Posts: 2380; Member since: Mar 03, 2013

140$ lost from Samsung only left nandflash and 512GB.

7. Arashmahmoodi25

Posts: 130; Member since: Apr 07, 2017

iPhone x could be the best selling smartphone of all time , I mean really had the potential . It's pretty amazing how jony ive could f**k this up I mean it needs an innovative mind to do it (imean it).

8. GreenMan

Posts: 2697; Member since: Nov 09, 2015

"As we know, Samsung is currently the sole supplier of the iPhone X's 5.8" flexible OLED panels, at $70 a pop." Speak for yourself, PA. I didn't know that! So... They display panel costs $70 a 'piece' (As opposed to 'pop') and yet Apple is selling it for... $270 a piece, correct? WHAT!!! So Apple Users will have to pay a $200 premium if they drop their phones, which happens more often than not? I pity you, Apple Users. My thoughts and prayers go with you. G'Day!

26. cmdacos

Posts: 4108; Member since: Nov 01, 2016

Why are you surprised? This is nothing new to pay heavy premium charges for services and add ons. Heck they are still making profit on their $29 battery replacement.

10. kiko007

Posts: 7493; Member since: Feb 17, 2016

The price of the phone just turns people off. Seriously, $1200 for a phone is a lot of dough, can't blame anyone for not wanting to buy it outright. Honestly I'm ready for that "remodeled" iPhone SE to make an appearance. Love my X (not my Ex though...) but Apple REALLY needs to think about the budget mid-range segment of the market. The iPhone SE sold better than most flagships the year it was announced, so I'm hopeful Apple continues to offer it.

39. AxelFoley unregistered

Maybe a good idea. But, Apple does that at risk to its reputation. A part of the allure of owning an iPhone is that it costs more than the rest. Therefore, in spite of its 50+ percent marketshare in the US, IPhone owners feel as if they are a part of the 1%, even when subsidizing it. If that feeling is lost, will that hurt Apple in the long-run?

14. duckofdeath unregistered

If Apple wants to go cheap to increase profit margins at the expense of quality, I guess the only ones losing are Apple fans. :)

27. TerryD

Posts: 544; Member since: May 09, 2017

So LG panels are as good quality as Samsung now?

21. Diego!

Posts: 867; Member since: Jun 15, 2009

Poir sales of the iPhone X are due to its high price. No one wants to afford $1,000 for a cellphone that could break its glass when it falls or someone may steal it from you. Apple not everyone is rich in the world, you know?

23. someguy2261

Posts: 253; Member since: Feb 12, 2016

I was as iPhone fanatic, one of the best features of Iphones was the retina screens some how they just looks better but the iPhone x panel does not , all most every android coming out now their panels look much better then iPhones , galaxy s8 has the same panel their looks much better just cause Apple configured theirs to save battery life . And i think getting rid of Touch id is their down fall, i get they try to be innovating but at least they should have fased it out slowly, for that was one of their best features , and lastly im in New York its cost my wife over 1300 usd to but the lower version , it cost me 500 usd too buy galaxy s8 with better screen, finger print reader, and overall better design, plus expandable memory, you got to be a fool to go for apple.

28. c.m.s

Posts: 235; Member since: Dec 10, 2017

Complete BS. The display in Apples iPhone X are better calibrated for color accuracy and they are brighter than those in Samsungs own devices. There are lots of tests that backs up that fact.

45. mootu

Posts: 1500; Member since: Mar 16, 2017

There are lots of online reviewers that still say the Note has a nicer screen than the X. Yes DisplayMate rates it top, but the human eye see's things differently than scientific sensors and tests.

53. Trex95

Posts: 2380; Member since: Mar 03, 2013

https://youtu.be/JP-kjFQY2HI https://youtu.be/a8bH3vn3ZnM It’s the best OLED around that doesn’t mean Note 8 or S8 are bad, but Apple has screen management plus Apple knows how to calibrate there screen very well.

33. LikeMyself

Posts: 631; Member since: Sep 23, 2013

The notch is no big deal. It's the terrible ui. It's so bad to navigate through that iPhone 10 ui. U just don't know which way to swipe in this thing

34. japkoslav

Posts: 1499; Member since: Feb 19, 2017

To be honest, 4,7" screen is pretty bad for such a big device (BTW it's a screen size when you watch a video or play games).

35. wando77

Posts: 1168; Member since: Aug 23, 2012

So Samsung is to blame for poor iPhone X sales because the display is $70 and that makes the iPhone price skyrocket????? Can't wait for them to go back to the LCD panels which are probably $30 cheaper and reduce the iPhone cost by......you got it....$30. The iPhone X isn't selling because it hasn't delivered and is overpriced. Looks like people are maybe starting to see that. And before you say the note is nearly the same price, it maybe is to buy outright but note 8 contracts in the UK are far less a month than an iPhone X.....and you get a better phone

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