China's BOE tapped by Apple for iPhone 13 premium displays!

Nikkei Asia reports that Apple has tapped China's BOE for the premium displays of the iPhone 13.

BOE Technology and Apple Inc.

BOE OLEDs coming to Apple products!

In a recent report, Nikkei Asia says that Apple Inc. has added China's BOE Technology to the company's list of premium display manufacturers for the iPhone 13 series. This adds pressure to existing suppliers like LG and Samsung.

According to the report, multiple sources familiar with the matter said that BOE Technology began shipping a sizable number of organic light-emitting diode (OLED) displays for the iPhone 13 last September. The company is expected to increase the number of shipments soon if the company passes the final verification process.

"It is in the process of final testing, but based on the results of earlier samples, BOE should have no problem passing the tests," an executive-level source with direct knowledge of the matter told Nikkei Asia. "The foundation of the collaboration between Apple and BOE is based on their previous project on the iPhone 12, and both Apple and BOE want this to happen soon."

The final verification process focuses on the durability of the screens. It is expected to finish as early as this month.

This means that BOE Technology will split the orders for the 6.1-inch iPhone 13 displays with the Samsung display. The report claims that BOE accounts for 20 percent of the supply. BOE wants to get 40 percent which will add further strain to the South Korean giant.

If it happens, BOE's breakthrough will add pressure on LG Display and Samsung Display. This is huge as Samsung has been the dominating supplier of OLED displays for Apple since 2017. 

One major concern for BOE is the current unstable power outages in several Chinese provinces that could affect the stable output of displays from BOE's factories.

What do you guys think?

Source: Nikkei