Being the only supplier of OLED displays, Samsung has found a cash cow for generating its revenues throughout next year. As with the recently launched iPhone X, Apple is in high demand for OLED displays. Samsung is also reported to be supplying an even high number of OLED panels next year that will be used by Apple on its 2018 iPhone models.
According to some sources Samsung is reported to supply around 200 million of its flexible OLED panels to Apple for the next year. That would be used by Apple on its upcoming three iPhone models. Where Samsung is said to have already supplied 50 million units of its OLED displays to Apple this year. That would increase by next year with an estimated revenue of $22 billion. If Samsung continue selling its OLED displays for $110 a pop.
Reason why Apple is interested in Samsung OLED technology is because of its quality and quantity. As Samsung is able to keep up with the demand of Apple thanks to its A3 panel production lines. That in the beginning was reported to generate 60 percent yield, but now the A3 production lines of Samsung is able to generate an 80 percent yield. With some sources even claiming Samsung to have reached nearly 90 percent yield already.
A better yield rate is good for both Samsung and Apple. But if Samsung was able to maintain a 90 percent yield consistently. The company would be able to provide 224 million of 6 inch OLED panels next year. Which does point towards the launch of a 6 inch iPhone X model next year.
It looks like Samsung would benefit a lot from Apple next year with it being a sole distributor of OLED panels. But other Chinese companies and LG might intervene anytime soon. Because Apple is looking desperately looking for a cheaper source of OLED panels with good quality.