Apple could owe Samsung Display “hundreds of billions of won” in penalties for not buying enough OLED screens — found in, and — due to , according to Korean outlet ETNews. That’d be about $90 million in fines, which isn’t much to Apple, but could strain on its relationship with the supplier.
The Cupertino, California giant insisted that Samsung Display build a factory for the exclusive purpose of making OLED screens, saying it’d need 100 million iPhone displays a year, our sister site ZDNet noted. Thehit Samsung Display hard — causing operating profits to fall from 5.7 trillion won (around $4.9 billion) in 2017 to 2.62 trillion won (about $2.2 billion) in 2018.
It’s unlikely that Apple will pay a cash penalty, but offer Samsung Display fresh contracts for OLED screens in tablets and notebooks, according to ETNews.
Apple is also rumored to be moving tofor 2020, after last year’s budget stuck with the old LCD display.
Neither Apple nor Samsung immediately responded to requests for comment.
First published at 3:23 a.m. PT.
Updated at 3:53 a.m. PT: Adds more detail.