Apple iPhone X may cost high because of Samsung

There have been several reports claiming that Samsung is the sole supplier of OLED displays for Apple’s upcoming bezel-less iPhone, likely to be called iPhone 8 or iPhone X. Now according to a new analyst note, the price that the Cupertino giant is paying Samsung for OLED panels is one of the key reasons for the high price of the upcoming iPhones.
KGI Securities analyst Ming-Chi Kuo, who’s known for his track record on Apple, has issued a note to investors (obtained by the Apple Insider website) where he claims the OLED panel’s price is the reason for the high cost of Apple’s upcoming smartphones.
In the note, he says that the OLED panel by Samsung for iPhone X may cost anywhere between $120 to $130 per unit. This is a huge sum as compared to the $45 to $55 per unit price of LCD screen Apple used for iPhone 7 Plus.
Based on this, it might not be h ard to imagine price of $999 or $1200 (512GB) that is being speculated for iPhone X or iPhone 8 models.
Apple is said to be looking for a second supplier of OLED panels as well. One option is likely to be LG. As another supplier not only means less supply constraints, but also that Apple will be able to command better pricing with another supplier in play.
While the exclusivity of the OLED panels could be one of the main reasons for the price rise, there are other features as well that may add to it. Apple iPhone X is also said to sport dual rear cameras, more powerful processor, better battery, face-recognition and more, all of which will add to the price tag.
Filed in: News

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