A new report from KGI Securities analyst Ming-Chi Kuo, who often predicts upcoming Apple releases, says that Apple won’t be to blame completely if iPhone 8 comes with a hefty price tag.
iPhone 8 is expected to be officially unveiled at a September 12 event with a cost that could range anywhere between $999 to $1,200. The report points out that Samsung’s role in the supply chain is essentially what is driving up the price of the iPhone 8. Currently, Samsung is the sole manufacturer and supplier of OLED panels used in making the end-to-end bezel-less display which the iPhone 8 will reportedly have. Click here to check the mobile prices of Apple and Samsung smartphones in Pakistan.
Simply put, Apple is at the mercy of Samsung until they can find a better or cheaper alternative. All previous versions of Apple smartphone had LCD display. However, the iPhone 8 will be the first to introduce an OLED display.
According to the report, OLED displays produced by Samsung for the iPhone 8 cost about $120 to $130 per unit, while the LCD panels used in the past used to cost $45 to $55 per unit. This massive price change in display panels has been a significant contributing factor in the overall price hike.
Nonetheless, Apple has taken Samsung on board as the exclusive provider of OLED panels for the iPhone and Samsung is reportedly making 160 million panels for them.
Since Apple is hoping to introduce OLED in all iPhones by 2018, moving to a cheaper alternative would be the best thing to do. For that reason, they have started building an OLED R&D facility in Taiwan and have enlisted LG Display as the official provider for 2018.