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Samsung's record financial income last year was largely due to excellent sales of OLED displays, which the South Korean giant supplies to many manufacturers. However, there is nothing to be surprised about. Its technologies are really reliable and the factories can produce a large number of pieces. So when Apple some time ago was deciding which supplier to approach for its OLED panels for the iPhone X, the South Korean giant was the obvious choice. However, another source confirmed that the golden days are coming to an end.

The biggest problem with OLED displays is their price, which is significantly higher compared to classic IPS panels. Therefore, when manufacturers decide to use them, it can generally be expected that the price of their smartphones will increase significantly. And that is exactly the case with the iPhone X. Namely Apple it sells significantly more expensive than it was in previous years, partly because of the expensive display. However, according to many analysts, the iPhone X's high price is the cause of lower sales. Apple although they claim that iPhone X sales are really good, it most likely did not fully meet expectations. In addition, everything indicates that interest in this phone is slowly declining.

The Apple company has reportedly decided to significantly reduce its production, which will, of course, significantly affect Samsung as well. Cash flow from displays for Apple because it was really strong, and cutting it in half will mean only one thing - a total reduction in the profits of the industry.

OLED display is not for everyone

However, Apple's supply cut isn't the only thing that's causing Samsung to lose solid profits. The South Koreans probably counted on the fact that far more manufacturers will decide to use OLED displays and they will approach him as a supplier. However, it seems that no giant OLED boom is on the way, and manufacturers prefer to stick to their proven LCD panels. In addition, it is impossible to say with certainty whether these manufacturers will even decide to use OLED in the future. The price at which they sell their models is often very low, and therefore the components they use to manufacture the phones must be "cheap".

We will see how the whole situation on the OLED display market will continue to develop. However, it is of course still too early to cast flint in the rye. Samsung has a whole year ahead of it and therefore a lot of time to find companies to which it will supply OLED panels and use them to close the gap left by Apple. In the second half, it can also be expected that Apple after all, he reaches for OLED displays for his new iPhones from Samsung. However, let us be surprised.

Samsung Galaxy S7 edge OLED FB

Source: Sammobile

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