Samsung and Apple are not only the main competitors in the global smartphone market, but also is directly dependent from each other. Apple uses production capacities of the South Korean technology giant, ordering him numerous components for their gadgets, and Samsung is actively receives from this impressive profit. X iPhone sales were not as impressive as expected, largely due to the high cost of OLED displays. That is why at the moment, Samsung is experiencing serious problems trying to find new markets and new customers.
About the problems of Samsung according to the authoritative edition of the Nikkei Asian Review. Samsung increased its production capacity in order to produce more OLED panels for smartphones X iPhone, but sales of the latter were disappointing. According to rumors, the situation is so bad that Apple first got your smartphone with sales ahead of schedule. It should happen this summer, shortly before the announcement of the next smartphone model, which is traditionally held in early autumn. The South Korean company eventually left with the overabundance of unclaimed displays, which due to their high cost were not needed. The majority of producers still prefer to work with cheaper LCD screens.
The largest Chinese smartphone manufacturers are focused on device manufacturing of the middle class, and few of them can afford to use OLED displays in their products. According to statistics, only 5 to 10% of the smartphone companies Oppo and Vivo can boast OLED screens. These panels are 40% more expensive than LCDs. And given the market of budget smartphones and devices middle segment actively compete, manufacturers are constantly striving to reduce the cost of components of its products.
OLED panels offer a more vivid and rich colors, they can be curved in order to create round on the edges of the displays, but such matrices are more than 100 dollars, more than twice the price of traditional LCD panels. The high cost of OLED displays is a serious problem even for the production of smartphones with Samsung. The British analytical company IHS Market notes that the internal use of OLED-matrixes from Samsung, OOO dropped in 2017. Today the South Korean company controls 95% of the OLED market, but in the near future this may change. LG Display is expanding its capacity, however, as Chinese manufacturers BOE Technology Group and Tianma Micro-electronics.
Samsung has problems because of the high cost of OLED displays
Sergey Grey