iPhone 8: Samsung’s OLED monopoly drives the price of the special edition

iPhone 8: Samsung's OLED monopoly drives the price of the special edition

Samsung’s monopoly as an OLED supplier Apple is reportedly responsible for the presumably about 1,000 US dollar entry price of the iPhone 8. Since the South Korean company is expected to provide all OLED components, Samsung can keep the price of the components comparatively high.

OLED for Apple more than twice as expensive as LCD

Analyst Ming-Chi Kuo is concerned in his latest report with the components needed for the OLED display of the iPhone 8. Thanks to good contacts to Apple’s subcontractors, the market expert is often able to make fairly precise predictions about still unpublished products from the iPhone group. Thus, the almost frameless display of the iPhone 8 consists of the actual OLED panel plus an additional touch panel. In addition, there are modules for OLED and 3D touch.

Except for the touch module, all OLED-specific components are from Samsung, without Apple could evade an alternative offerer. This allows the Group from South Korea to estimate comparatively high prices for the components, Kuo said.

Up to US $ 130 for the OLED unit

Apple has to pay according to Kuo for an OLED unit of Samsung between 120 and 130 US dollar, while the cost of LCD panels are only about 45 to 55 US dollar. The expected scarcity of the required parts for the start of sales should also play a role for the sums traded.

Months ago rumors arose, according to which the selling price for the basic model of the iPhone 8 is about 1,000 US dollars. Also the change from LCD to OLED was called as the most important cost-driver.

Further OLED supplier searched

Insbesondere wegen des hohen Preisfaktors soll Apple schon seit längerem nach zusätzlichen OLED-Zulieferern für zukünftige iPhones suchen. LG ist ein heißer Kandidat.

Kürzlich hat Apple einer Meldung zufolge 2,27 Milliarden US-Dollar in eine LG-Fabrik investiert, die sich auf die Displaytechnologie spezialisiert. Die Massenproduktion soll bis 2019 sukzessive auf 45.000 OLED-Einheiten pro Monat steigen; Apple verkauft allerdings dutzende Millionen iPhones pro Quartal. Aktuell hält Samsung Display noch 95 Prozent des weltweiten OLED-Marktes für Smartphone-Displays.

OLED-Panel für Wegfall von Touch ID verantwortlich

According to Kuo, the new display technology for Apple smartphones is not only responsible for higher production costs, but also prevented the fingerprint sensor actually planned for the display surface. OLED has provided an inadequate scanning performance of the touch-ID function within the display, so Apple’s Apple 8 in all probability forwards completely to an authentication via fingerprint.

Instead of Touch ID, a biometric face scanner is most likely to be used, which works faster and more precisely than fingerprint sensors.

Apple is presenting this year’s iPhone App on September 12th. How the presumably three models are called, is still not certain. In addition, the third Apple watch generation and a new Apple TV are on the agenda of the event.



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