LG encounters issues in the supply of screens for new Apple iPhones

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Apple reportedly asked LG to go through a third round of prototype production for the OLED panels, an unusual step for most component manufacturers.

As popular and critically successful as the iPhone X has been, its OLED display is one of the main reasons that its price is so steep.

Apple was forced to rely entirely on Samsung for the iPhone X's OLED screens a year ago, something which it probably didn't want to do since the two are sworn rivals.

Apple is facing problems to find a second supplier for its new iPhone screens and will have to keep on using Samsung displays if LG Display's manufacturing issues aren't fixed anytime soon. According to The Wall Street Journal reports, LG Display which is to be used by Apple as a second source of its OLED (organic light-emitting diode) screens in its new phones, is facing manufacturing disorders. Over at Apple, opinions are supposedly divided over whether or not LG should be allowed to become a second source of OLED panels for the 2018 series of iPhones. One the sources noted that Apple is now trying to decide whether it will be able to rely on LG Display to provide screens for the upcoming iPhone models expected to be released this fall.

Apple's desire to diversify its supply chain will help the company minimize risk (especially when your primary supplier is also your top competitor) and put it in a position to better negotiate on component pricing. But the latest reports suggest LG won't be ready in time to hit Apple's mass production deadline of July.

LG is a huge name when it comes to OLED TVs. If Apple opts to give up on LG, it will mean that Samsung, Apple's biggest rival, will be the sole provider of OLED iPhone displays. It could even end up making the 2018 iPhones less profitable for Apple.

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