The supplier company will build a factory in Vietnam to manufacture OLED panels.
BOE is currently in negotiations to acquire dozens of acres of land north of Vietnam. A few hectares that will be used for the construction of facilities specially dedicated to the manufacture of OLED panels for Apple.
It is estimated that the new BOE plant It will be built around the year 2025. and the company’s economic investment will be bestial. The 100 hectares of land will cost BOE a total of $400 million, while the OLED panel production facilities will be part of a $250 million investment, according to VNExpress.
BOE will be the main supplier of OLED screens
BOE’s project is to become largest producer of OLED panels in the world, even above Samsung Display. Something that could end up becoming a reality very soon.
According to Ming-Chi Kuo, BOE will almost exclusively manufacture the screens of the iPhone 15 and iPhone 15 Plus and that from 2024 the company will be market leader in OLED screens.
“BOE has overtaken Samsung and secured the largest display order for the new iPhone 15 and iPhone 15 Plus 2023. If development and production go smoothly over the next few months, BOE will become the largest iPhone supplier 15 and iPhone 15 Plus, with a 70% market share.”
For its part, Apple wants reduce its heavy reliance on large companies in the supply chain such as Foxconn, Qualcomm or Samsung. So much so that they even plan to create their own Wi-Fi, Bluetooth and 5G modem chips to avoid making multi-billion dollar supply chain payments and reduce production costs.
Apple is also said to be launching a switch to OLED screens in two large families of its ecosystem, the iPad and the Mac. This transition could be closely linked to the construction of the new BOE facilities in Vietnam, although it is too early to confirm it as such.
On the other hand, sources close to Apple’s supply chain hint that the company with the bitten apple logo may be planning design and manufacture your own bespoke displays from 2024. A very smart decision that will greatly facilitate market opportunities for Apple, but at the cost of a huge financial investment.
