Apple is strongly demanding decrease show panel costs as rising reminiscence semiconductor costs push up the price of constructing iPhones.
According to trade sources on July 24, Apple has proposed a value of about $70 for natural light-emitting diode (OLED) panels for the iPhone 18 Pro Max, which it’s going to unveil this yr. The trade estimates that Samsung Display and LG Display are supplying the panels at a mean of $66.5, even decrease than that determine. That is about 20% under the earlier mannequin.
iPhone OLED costs have fallen with every new product in the previous as nicely. Depending on provide timing and circumstances, iPhone 16 Pro Max panels at instances exceeded $100, however fell to the $80 vary for the iPhone 17 Pro Max. Panels for the iPhone 18 Pro Max are about 20% decrease than that. On high of the same old generational value decline, the dimensions of the discount has grown this time, in response to trade officers.
Notably, the OLED panels for the iPhone 18 will use M16, the most recent natural materials set, which improves luminous effectivity, lifespan and shade traits. Panel makers should modify course of circumstances and stabilize yields to go well with the brand new materials. Product specs and manufacturing problem have risen, but costs have as an alternative fallen.
Rising reminiscence semiconductor costs have labored as a destructive issue, as smartphone makers search to soak up the price improve by slicing procurement prices for different elements comparable to shows and digicam modules.
Samsung Display President Lee Cheong stated on July 22 at Ok-Display 2026 that “this year is extremely difficult because of chipflation,” including that “very strong pressure is coming in to lower component and display prices.” LG Display President Jeong Cheol-dong additionally stated of the strain to chop costs that the corporate is (*18*) however that it’s “at a manageable level because we are pursuing cost innovation.”
According to market analysis agency UBI Research, Samsung Display is predicted to produce 46 million OLED panels for the bar-type iPhone 18 this yr, comprising 2 million for the usual mannequin, 18 million for the Pro and 26 million for the Pro Max. LG Display’s anticipated quantity is 41.09 million panels, made up of 1.09 million for the usual mannequin, 19 million for the Pro and 21 million for the Pro Max.
“Apple is demanding steep price cuts from panel suppliers on the grounds of rising memory prices,” an trade official stated. “Supply prices are falling even for high-specification products using the latest organic materials, so panel makers’ second-half earnings will vary depending on supply volumes, yields and the extent of cost reductions.”
