teknolojiarsivi.com May 27, 2018

Samsung Cuts OLED Production, iPhone X to Blame

23 February 2018, 04:25 | Virginia Benson

Samsung shares take a hit as iPhone X sales slump

Nikkei Samsung wil slash OLED production because of poor demand for the iPhone X

In a follow-up story, Nikkei says that Samsung chose to cut OLED screen production in response to Apple's decision to reduce iPhone X orders.

Anticipating strong demand from Apple, Samsung Display had made a capital investment of $12.6 billion last year, which resulted in $1.4 billion jump in depreciation costs in the current year.

Samsung has been moving to maintain its market share through budget models. The iPhone X's lofty price tag may simply be out of reach for many consumers.

In the global market, Apple shipped 77.3 million smartphones worldwide in the October-December months, overtaking Samsung Electronics, a separate report said. However, the news of production cuts has given some investors cold feet.

Samsung apparently plans to make 20 million iPhone X OLED screens at most during the March quarter. This led to Reuters noticing that Samsung shares had fallen by as much as 2.3 percent following on from the news. Apparently, Apple was paying Samsung between $120 - $130 per display to Samsung, so the company could face significant problems if the units are not shifted. Japanese companies like Hodogaya Chemical Co and Hirata Corp also saw shares fall. It's just not the way we thought back when the iPhone X launched.

Samsung has not decided its production target for the June quarter, but the company envisions further cutbacks in the second quarter. In this manner, Apple will give LG Electronics a very tough time, so it should plan an innovative market strategy of its own. The South Korean giant now controls about 95% of the OLED market, but that could soon drop with LG Display ramping up production this year, as are Chinese manufacturers like BOE Technology Group and Tianma Micro-electronics.

Other News

Trending Now

Rotomac Scam: IT Attaches 11 Bank Accounts
The money was round-tripped to accounts of Rotomac and its sister companies instead of using the money to pay buyers/suppliers. A well heeled Kanpur based business family had set up his stationery business under the name of Rotomac in 1980's.

More than 6bn people live in corrupt countries, study shows
Ms Curran also said the Government would strive to further improve public transparency and free access to information. The index offers an annual snapshot of the relative degree of corruption by ranking countries from all over the globe.

JD Martinez set to add big bat into Red Sox lineup
FORT MYERS, Fla. - Jake Odorizzi joined the Minnesota Twins just in time for their first full-squad workout of spring training. He was one of Baltimore's top pitchers the previous five years, going 65-33 with a 3.81 earned run average in 143 starts.

Manchester City hit back over Claude Puel's accusations about Riyad Mahrez
I think he must continue to work and progress, and find consistency. He enjoys playing and training with his team mates.

Drinking alcohol key to living past 90, study says
Plus, all of grandpa's stories about the war might be a bit more elaborate and honest with the help of another glass of wine. Moderate drinking, however, was not the only activity reported by The 90 + Study that had a positive impact on longevity .

Walgreens Boots Alliance, Inc. (WBA), Chubb Limited (CB)
Their average price target spell out an upbeat performance - a 26% and would give WBA a market capitalization of almost $85.03B. The fund owned 343,234 shares of the pharmacy operator's stock after acquiring an additional 76,684 shares during the quarter.

Google Pixel sales still no match for iPhone, Galaxy S series
A year ago saw Google unveil the Pixel 2 and 2 XL handsets to take over from the original Pixel phones that launched back in 2016. Lastly, Google Pixel smartphones are only available through Verizon, while the iPhone models are available in all carriers.

Winter Olympics 2018: Canada vs
Dominik Kubalik and Michal Jordan scored in regulation time for the Czechs, who edged South Korea 2-1 in their opener. Maxim Noreau of Canada, reacts after failing to score in the penalty shootout against the Czech Republic.

Wales hatching plan to nullify Sexton and Murray
Asked what advice he'd give to any young coach, Gatland said: "Do your best to deal with the media as positively as possible". It's a huge credit to him and we've always got on well and had that mutual respect even before the Lions tour.

Tdap and flu vaccines safe during pregnancy
Most of the children who have died from the flu this year have not been vaccinated with the flu shot. Antivirals, if started early, can sometimes help reduce the severity and duration of disease.