In the face of lower-than-expected OLED iPad Pro demand, Apple supplier LG Display is now planning to revamp its main OLED display production line to produce iPhone display panels, according to a report by The Elec.
The company’s production line currently produces OLED panels for tablets and PCs, but has been experiencing reduced operation rates due to sluggish demand for Apple’s OLED iPad Pro models.
Apple’s 11-inch and 13-inch iPad Pro lineup, which debuted in May 2024, were initially expected to ship up to 10 million units in 2024. However, market research firm Display Supply Chain Consultants (DSCC) in October lowered that shipping forecast to a mere 6.7 million units.
The move allows LG Display to expand its iPhone OLED panel production capacity without the need to invest in an completely new production line, which would cost around 2 trillion won ($1.5 billion USD). The existing OLED line, which cost 3.4 trillion won to build, can be adapted with only minimal modifications.
OLED technology offers several advantages over LCD tech, including increased brightness, higher contrast ratio with deeper blacks, more precise color reproduction, improved power efficiency for longer battery life, and more.
According to the report, LG Display is aiming to maintain sufficient iPad OLED inventory through February while also seeking Apple’s approval to make the production line modification. The company is targeting to provide 70 million iPhone OLED panels in 2024, up from mid-60 million units last year.
