14 DAY TRIAL // Despite being the only company manufacturing the iPhone X OLED display, Samsung could soon lose its contract with Apple if China’s largest screen manufacturer, BOE, manages to convince Cupertino to sign a deal for future iPhone models.
It’s no secret that Apple wants to reduce its reliance on Samsung, and now the company might have the opportunity to do it. A report from ETNews reveals that BOE has prepared OLED production lines that would be exclusive to Apple and be used for the next generations iPhones.
The report adds that BOE officials have already traveled to Cupertino to discuss the possibility of a partnership for OLED manufacturing, and what’s more, the Chinese firm has even made changes to its production lines in anticipation of a potential agreement.
BOE already built a prototype screen for the iPhone X
The B11 line located in Sichuan could be used for making iPhone OLED displays, while the B12 line currently under construction could help reach Apple’s typical high volumes for screen production. BOE will invest a total of $7 billion in the B12 production facility only, with even more money to be spent on additional equipment should the deal be signed.
And if it is, Samsung is very close to losing Apple, as Cupertino is also working with LG Display to build screens for the iPhone.
People familiar with Apple’s business revealed recently the company invested no less than $2.7 billion in a new LG facility that would be specifically used for building iPhone screens, all part of a plan to scale down the collaboration with Samsung.
With a second supplier, Apple would be in a position to negotiate the deal with Samsung in a more aggressive way, despite the company also said to be interested in giving up on its partnership with the South Koreans entirely.
The bigger challenge for BOE is to meet Apple’s requirements for the OLED displays that it produces, but according to the cited report, the company has already built a prototype display with a notch specifically to show its potential American partner that it has what it takes to become a screen supplier.