An Apple supplier, Japan Display, announced on Monday that it's seeking to raise up to $990 million in new financing as it looks to cope with Apple's switch from LCD iPhones to OLED.
Japan Display is reportedly seeking investment to ease its financial burden to Apple over the construction of an LCD factory, with reduced demand for the iPhone and a shift towards OLED making the future tougher for the iPhone display panel supplier.
One of Apple's key suppliers, Japan Display, is getting a bailout of 60 to 80 billion yen — up to $723 million — as it copes with soft iPhone demand and competition from Chinese panel makers.
A report into the misfortunes of LCD supplier Japan Display claims that the company is in trouble because of slow sales of the iPhone XR and will not recover because Apple is moving to OLED for all its phones in 2019.
Several prominent news sources are again blowing a cloud of speculative rumor-mongering that claims Apple's iPhone sales are — perhaps! — in desperate straits. Revised revenue reports from just five firms—out of Apple's 200 primary suppliers—are at the core of these reports, so take a look at how flimsy these conclusions are.
Two important Apple suppliers — Japan Display and TrueDepth sensor provider Lumentum — have cut their revenue forecasts, causing Apple's stock price to dip to its lowest value in over three months.
In a rush to retain Apple as a smartphone display customer, Japan Display on Friday said it plans to raise more than $500 million that will be put towards manufacturing LCD panels for a next-generation iPhone.
A new report claims Apple is meting out display orders for its next-generation iPhone lineup, which is rumored to include two OLED versions — 5.8 and 6.5 inches — and a 6.1-inch LCD variant.
Apple is reportedly considering "Full Active" LCDs by Japan Display for use in some of next year's iPhones, perhaps supporting views it will make a slow transition to OLED.