The iPhone X is the first smartphone from Apple to feature an OLED display and since Samsung has a near monopoly in the smartphone OLED panel market, it’s the only supplier that can produce OLED displays at a volume not only for itself but for customers like Apple. Samsung was going to make a lot of money off of the iPhone X as its the sole supplier of OLED displays but even as reports of sluggish iPhone X sales surface, it’s not worried.
A recent report claimed that Apple has cut iPhone X production in half due to sluggish sales. However, some say that the reports about low sales are overblown, an Apple supplier also suggested the same.
Even if sales of the iPhone X are lower than expected, Samsung doesn’t seem to be too worried about missing out on OLED panel sales to Apple.
“It is hard to give specific details, but we have been trying to diversify our clients and reduce reliance on a certain customer to build a healthy portfolio,” a Samsung executive said in a conference call yesterday when asked about the potential impact of lower than expected iPhone X sales.
The executive also added that Samsung’s display business “will not be affected much a certain customer.” Samsung gave its forecast for the first quarter of this year yesterday and the company already expects profits from its AMOLED business to decline in Q1 due to low demand and increased competition.