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Apple iPhone 8 OLED display costs $120-$130 per unit, says analyst

It looks like the new iPhone 8's OLED display is quite expensive for Apple. According to an investor note by analyst Ming-Chi Kuo of KGI Securities, Apple is paying around $120 to 130 per unit.

By: Tech Desk | New Delhi |
Updated: September 8, 2017 12:31:21 pm
Apple, Apple iPhone 8, iPhone 8 launch date ,iPhone 8 September 12, iPhone 8 price, Apple OLED, iPhone 8 OLED, iPhone 8 price in India, iPhone 8 specifications, iPhone 8 features Apple iPhone 8: The OLED display unit is quite expensive, adds a new note from analyst Ming-Chi Kuo. (Image Source: Reuters)

It looks like the new iPhone 8’s OLED display is quite expensive for Apple. According to an investor note by analyst Ming-Chi Kuo of KGI Securities, Apple is paying around $120 to 130 per unit for the new OLED display in the iPhone 8, which is more than double of what it paid for the iPhone 7 Plus’ LCD display. The note was accessed by AppleInsider, which reported about the same.

Kuo’s report says Samsung has the upper hand when it comes to negotiations in OLED given that it is the dominant supplier of the display. He added that Apple will definitely need a second supplier for OLED, but “diversity in the supply chain will take time.”  The report comes even as another Bloomberg report says Apple and LG are in talks for OLED display supply for 2019.

According to the Bloomberg report, talks are still going on and LG is facing considerable challenges when it comes to ramping up OLED production given Samsung’s dominance. The report notes that iPhone in 2018 could be the first to ship with LG Displays, though supply will be limited.  The expensive display of the iPhone 8 could mean a higher price for the device. Reports have already claimed this will be the most expensive iPhone starting at $1000 and going up all the way to $1200.

Meanwhile, the other thing that Kuo’s note highlights the topic of Touch ID display, and hints that Apple “may abandon” this for the OLED display. However, Kuo’s note doesn’t confirm if Touch ID will indeed be killed off in the iPhone 8.  According to Apple Insider,  Kuo is quoted as saying, “We believe 3D Touch module could be unfavorable for scan-through performance of under-display fingerprint recognition,” and this is the reason the OLED iPhone might not have the feature.

Apple is expected to introduce a 3D face scanner module on the front of the device for unlocking the new iPhone. The bezel-less iPhone 8 will also not sport a home button on the front, and Apple will go for an glass design with steel frames on the side.

Apple iPhone 8, or iPhone Special Edition or iPhone X as some are calling it, launches on September 12. iPhone 7s, iPhone 7s Plus, which will get incremental upgrades will also be unveiled at the event, along with Apple Watch 3, which is supposed to get LTE support. Apple will also unveil a new set-top box with 4K support at the event.  The other point to keep in mind is that is the first Apple event taking place in the Steve Jobs Theater at Apple Park, which is the new campus of the company.

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