Consortium forms out of worries Apple could monopolize AMOLED supply with future iPhones

Several major Chinese smartphone vendors are forming a consortium with a supplier to invest in AMOLED production in 2017, mainly out of worries that Apple will end up monopolizing panel supplies with upcoming iPhones, according to reports.

Oppo, Vivo, Huawei, and BBK will be cooperating with panel maker Royole on joint investment in AMOLED production, said DigiTimes, citing Chinese media. The concern isn't so much 2017 — when the first OLED-based iPhone is expected to premiere — as 2018 to 2020, when persistent demand by Apple is expected to put a crimp on what other smartphone makers can obtain, and potentially handicap their production plans.

Royole is already said to be expanding its AMOLED capacity to 45,000 units for 2017, and planning new production lines in 2018. BBK has meanwhile created an independent subsidiary to concentrate on panel production, which is reportedly aiming to hit a 60,000-unit AMOLED capacity between 2017 and 2019.

Apple is rumored to be preparing not two but three flagship iPhone models for next year, though only one of them, a 5.1- or 5.2-inch variant, is predicted to use OLED. High-quality OLED panels can still be expensive, in part because most suppliers are still building up capacity.

The OLED model is expected to feature an edge-to-edge display, and it along with other iPhones may gain wireless charging, something long present on higher-end Android phones.

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13 Comments

macxpress

said about 7 years ago

Didn't Apple do similar things with NAND Flash storage? Since Apple's has Billions in the bank, it can secure all the storage it needs for future products. I wouldn't be surprised if they haven't already done the same with OLED screens, especially since they seem to be in short supply.

cali

said about 7 years ago

A bunch of Chinese iPhone knock offs are fighting Apple so they have a hard time making the real iPhone?
These scumbags have no shame.
The US should have stopped these knockoff manufacturers from stealing American technology and selling them on American soil.

I'd like to see Apple invest in a new screen technology exclusive to their devices or license to televisions but not knockoff devices.

The last paragraph of the article provides the usual fuel for android users. If Apple does invent true wireless charging you'll have idiots saying "X phone had it first". Even if X phone uses different tech and no one(including the idiot) use X phone.

steven n.

said about 7 years ago

You have the wrong word in your title. You are looking for monopsony instead of monopoly. In this case, Apple is looking to be a sole customer (Apple) to multiple vendors (OLED suppliers) and not a sole provider to multiple customers.

iphonenick

said about 7 years ago

I hope Apple squeezes those slime balls hard enough to prevent them from producing their iPhone knockoffs.

Most handset manufacturers should pay royalties to Apple for producing counterfeit iPhone designs.

hmlongco

said about 7 years ago

"Royole is already said to be expanding its AMOLED capacity to 45,000 units for 2017..."

Are we sure this is correct? Apple sells 40-50 million phones a quarter. A manufacturer increasing production to 45,000 units is, quite literally, a drop in the bucket.