IN BRIEF
| Announcement | Apple abandoned THE LCD for his iPhones |
| Date | By 2025, according to Nikkei |
| Impact | Japan will no longer be a supplier screens for the iPhone |
| Context | Transition to screens OLED initiated with the iPhone |
| Consequences | Sharp closes its LCD production line in Osaka |
| Suppliers | Exclusion of Japanese companies Sharp Corp And Japan Display |
The technology industry is in flux with the major announcement that Apple will definitely abandon the screens LCD for its iPhones, for the benefit of technology OLED. The move, which will be fully implemented by 2025, is leading to a reorganization of supply chains, with notable consequences for Japanese suppliers such as Sharp And Japan Display. The latter, once pillars in the supply of screens for Apple products, are now forced to look for new opportunities to compensate for this significant loss.
Apple plans to completely switch to OLED displays for its next iPhones starting in 2025, prompting Japan to step down as an LCD supplier for the popular brand. This transition, which began since the introduction of the iPhone
Apple’s move to OLED technology
In 2017, Apple launched its first iPhone with an OLED display with the iPhone X. Since then, OLED technology has gradually replaced LCD displays in iPhone models. The recent announcement of the definitive abandonment of LCD screens in favor of OLEDs by 2025, reported by Nikkei, marks a decisive step in this transition.
Impact on Japanese companies
Apple’s abandonment of LCD screens will have significant repercussions for Japanese suppliers. Giants like Sharp and Japan Display, which have historically supplied Apple with LCD screens, are now facing a drastic drop in demand. Sharp has already closed a production line in Osaka dedicated to large panels, while Japan Display sold its LCD factory to Sharp, according to The New Factory.
The reconversion of Japanese manufacturers
The need for reconversion is an immediate consequence of this transition to OLED. Japan Display and other companies will need to look for new business partners and possibly invest in alternative technologies such as OLED displays to remain competitive in the market.
A changing industry
Japanese companies face a major challenge in adapting their activities to this new industrial context. Many are already pivoting to new opportunities or looking to diversify their product portfolios to offset the loss of orders from Apple.
Consumers and the market
The transition to OLED displays will also affect end consumers. OLED displays offer significant advantages in image quality, contrast and power consumption. However, this transition could also lead to increased production costs and, therefore, higher prices for new iPhone models.
The iPhone SE 4 and the end of LCDs
The iPhone SE 4, planned to complete this transition to OLED, reflects this new strategy. According to discussions on Reddit, this model should consolidate the end of the era of LCD screens at Apple, by offering consumers a more technologically advanced device.
Japan and Apple: an ever-changing relationship
Historically, Japan has always occupied an important place in Apple’s supply chain, whether for LCD screens or other components. With this recent shift, the landscape of this relationship is about to change significantly. Japan, as a supplier, will need to reassess its role and position within the global technology market.
Why the iPhone remains popular in Japan
Interestingly, despite these changes, the iPhone remains extremely popular in Japan. One of the determining factors is the past collaboration between Apple and Softbank which allowed a very advantageous initial exclusivity, as well as the emphasis placed on quality and innovation. This explains why the iPhone continues to appeal to the Japanese market, according to an analysis on Quora.
For more information you can consult this article.
Impact of Japan’s withdrawal as an iPhone display supplier
| Evolution | Impact |
| Apple abandons LCDs | Switching to OLED technology for all iPhones by 2025 |
| Closure of production lines | Sharp closed its LCD production line in Osaka |
| Repercussions on Japan Display | Sale of its LCD screen manufacturing plant to Sharp |
| Exclusion of Japanese suppliers | Sharp and Japan Display will no longer supply screens for iPhones |
| Evolution of iPhones | iPhone SE 4 will also adopt OLED technology |
| Introduction of OLED | First introduced with the iPhone X in 2017 |
| Reasons for the transition | Improved display quality and performance |
| Japanese market | Softbank was the only iPhone supplier in Japan |
| Economic consequences | Increased economic difficulties for Japanese suppliers |
Impact of Apple’s abandonment of LCDs
Consequences for Japan
- Closure of production lines
- Conversion of Japan Display
- Sale of factories to Sharp
- Exclusion of Apple contracts
Consequences for Apple
- Transition to screens OLED
- Strengthened partnerships with Samsung and LG
- Improved display quality
- Possibility for models like the iPhone SE 4