Japan will no longer supply iPhone displays: Apple's strategic adjustments trigger supply chain shakeups
Recently, it was reported thatApple plans to move to OLED displays across the board in all iPhone models released after 2025This means that major Japanese LCD suppliers such asSharp (name)and Japan Display (JDI), will be excluded from Apple's cell phone supply chain. This news has not only caused widespread concern in the global technology community, but has also had a huge impact on the Japanese display manufacturing industry.
Apple's strategic realignment: fully embracing OLED technology
Apple has long been known for its strict requirements on display technology. Over the past few years, Apple has continued to use LCD displays in some of its iPhone models, despite the growing popularity of OLED technology. This is mainly to maintain differentiation between different models and to control production costs. However, as OLED technology continues to advance, Apple is gradually realizing the advantages of this technology in terms of display effect, energy management, and design flexibility.
Apple is reportedly planning that from 2025 onwards, all newly releasediPhoneAll will fully adopt OLED displays. This decision signifies that Apple will completely bid farewell to the LCD era and enter a completely new display technology stage.
Japan's supply chain "winter": Sharp and JDI's plight
Apple's strategic shift has had a huge impact on Japanese display makers. As Apple's longtime key LCD suppliers, Sharp and Japan Display (JDI) occupy a key position in Apple's supply chain. However, with Apple's shift to OLED displays, both companies could be at risk of being phased out.
Sharp and JDI have accumulated a wealth of experience in LCD manufacturing over the past few decades and have gained a share of the global display market. JDI, in particular, was once the main supplier of Apple's iPhone displays. However, with the rise of OLED technology, these former industry giants are now facing tremendous market pressure.
Industry analysts have analyzed that this strategic adjustment by Apple will lead to a significant reduction in orders from Sharp and JDI, which in turn will have a profound impact on the revenue and market position of the two companies. Although these companies may try to make up for the loss by expanding their business to other markets or investing in new technologies, they will be in a very difficult situation in the short term.
Uncertainty of the Future: The Way Out for the Japanese Display Industry
Apple's decision not only challenges Sharp and JDI, but also raises concerns about the future of Japan's entire display industry. Japanese display manufacturing once led the global market, but with the rapid rise of South Korea, China and other countries in OLED technology, Japan's competitiveness is gradually declining.
Nonetheless, Japanese companies still have a deep reservoir of technological innovation and quality control. In the face of this challenge, Japanese display manufacturers may need to accelerate the pace of technological transformation, investing more resources in the development of emerging display technologies such as OLED, MicroLED, or exploring niche markets such as medical and industrial displays, in order to cope with the impact of changes in the Apple supply chain.
Apple's future partnership with Japan: an unfinished story
Although Apple will gradually phase out LCD displays from Japanese suppliers, this does not mean that Apple's cooperation with Japanese companies will be completely terminated. Japan still has the world's leading advantage in semiconductor materials, manufacturing equipment, etc., the future of Apple may be in other areas with Japanese companies to develop more in-depth cooperation.
In short, with Apple's full shift to OLED displays, major LCD manufacturers in the Japanese supply chain will face unprecedented challenges. This change not only heralds technological changes in the global display industry, but also highlights the profound adjustment of the supply chain pattern of the global technology industry. For Japanese display manufacturers, how to cope with this challenge and find their own position in the future market will become the key to determine their fate.
