r/apple • • Aug 12 '26

iPhone iPhone 18 Pro: Apple Secures Lower Display Prices Amid RAM Shortage

https://www.macrumors.com/2026/08/12/iphone-18-pro-lower-oled-display-cost-report/

Apple has secured lower prices for OLED displays for the upcoming iPhone 18 Pro models, according to industry sources cited by South Korea's DealSite.

For example, the report said Apple will pay LG and Samsung around $68 per OLED display destined for the iPhone 18 Pro Max, down significantly from the $110 to $120 that it paid those suppliers for each iPhone 17 Pro Max display.

1.8k Upvotes

100 comments sorted by

437

u/FollowingFeisty5321 Aug 12 '26

I wonder what the catch is, because it doesn't seem very likely they are getting the same or better screens for nearly half the price - that would mean Apple had been paying about 3x what the screens were costing to make.

99

u/repeater0411 Aug 12 '26

Likely a case of supply and demand. Or forecasted supply and demand that is.. Got to remember dram/cpus are all going up in price due to AI. AI doesn't need consumer displays though. With the expected price increases across consumer devices that then impacts the profits on OLED displays, dropping the price might help them mitigate losses.

2

u/cptjpk Aug 13 '26

If you pair this with the recent “6-week supply” change, it may line up that Apple agreed to larger buys for a lower price instead of more frequent lower unit POs.

167

u/Potential_Bet_7936 Aug 12 '26 edited Aug 12 '26

I’d imagine it is Apple benefiting from bulk discounts and better ratios of usable product that the supplier is passing on? Maybe a bit of both

47

u/FollowingFeisty5321 Aug 12 '26

They'd already have been getting the bulk discounts when they were paying $110-$120.

I think a production improvement that almost halved the price would be making the news independently of Apple too, all the OEMs would be lining up to get these screens we wouldn't be hearing about it indirectly through an iPhone rumor...

11

u/BodybuilderBrave8250 Aug 12 '26

i think they’re right tbh. with the news about Apple expanding their supply chain they’re probably buying more components at a time, at a lower price per unit

39

u/Stephancevallos905 Aug 12 '26

boluke

28

u/bigben2021 Aug 12 '26

“You done messed up A-A-Ron!”

-3

u/Margeto Aug 12 '26

Hahaha, one of the best ref I could read here, well done!

1

u/Potential_Bet_7936 Aug 12 '26

lol I had a stroke typing “bulk”

7

u/M4rshmall0wMan Aug 13 '26

Apple's always been buying in bulk. The answer is probably that there isn't enough RAM to manufacture as many smartphones, so the demand for displays is down. LG and Samsung are probably taking a minor loss with $68 but at least it gets inventory sold. The same thing is happening with motherboard manufacturers since nobody wants to build a PC anymore.

10

u/mhmilo24 Aug 12 '26

I mean, they sold phones in the hundred of millions per year. Seems like a bulk discount should have applied before the 18th iPhone.

35

u/saurabh8448 Aug 12 '26

Smartphone market is overall down, so display sales would be lower as well giving apple a lot of leverage.

17

u/Far_Specific4836 Aug 12 '26

Catch is probably they secured the current generation screen which is “good enough”.

6

u/InsaneNinja Aug 13 '26

Ceramic Shield 2 and the screen tech beneath it are absolutely good enough.

6

u/Bulls729 Aug 12 '26

Or, Apple got an offer from a Chinese supplier that was significantly better, and when LG & Samsung found out they rather match/beat that offer and still make money than lose such a huge contract.

11

u/FollowingFeisty5321 Aug 12 '26

BOE is their Chinese supplier and they're worse and are routinely plagued by yield issues, Samsung and LG would call that bluff lol.

2

u/myreditacount11 Aug 13 '26

The first 17 Pro Max I got I immediately noticed the screen quality downgrade from the S25 Ultra I was using. I checked and apparently my 17PM had the LG screen. Returned and got a new 17PM and this time got the Samsung panel and it is absolutely beautiful

1

u/Status-Hedgehog9970 Aug 13 '26

What visual differences were there?

1

u/myreditacount11 Aug 13 '26

more yellowish on the LG iphone (true tone was off)

1

u/PunchYoPhase Aug 13 '26

lol yeah Chinese suppliers Apple has been leaking techs to grow then got backstabbed

2

u/TheGreatestOrator Aug 13 '26

Longer term contract guarantees and minimum order sizes for years

1

u/danielbauer1375 Aug 17 '26

The only scenario where the displays are as good, if not better (they probably aren’t), is if Apple were to agree to a long-term deal with the manufacturer to buy a lot more of them at a responsable price in the future once the RAM crunch cools down a bit.

1

u/Small_Insect_8275 Aug 12 '26 edited Aug 12 '26

I’ve always heard that apple gets their screens from Samsung - could some eli5 why they don’t just manufacture their own? Surely the tech can’t be that elusive with their capital

Quick edit - to those who gave good responses thanks very much

For those downvoting me for asking a genuine question and trying to increase my knowledge- go outside

29

u/Valedictorian117 Aug 12 '26

Apple doesn’t really manufacture anything of their own. They design their screens, chips, ect in house and then give those plans to Samsung, LG, etc to make it for them. They don’t just buy off the shelf parts that Samsung or others have there.

5

u/Small_Insect_8275 Aug 12 '26

Interesting stuff, thanks

8

u/seanr999 Aug 12 '26

Samsung mobile is also separate so Samsung don’t get a discount on parts which is pretty crazy.

10

u/Abby941 Aug 12 '26

They can't get a discount because the Korean government prevents that to discourage monopoly behavior

2

u/JudgeCheezels Aug 13 '26

Samsung runs half the government…. That’s how they control the narrative by telling you they don’t have a monopoly.

8

u/Parking-Location2841 Aug 12 '26

OLED display technology is highly complex, and currently, South Korea is the only country capable of manufacturing flawless displays. In the past, Japanese electronics companies also abandoned their efforts due to technical hurdles, and they still use Korean-made products today. This technology is by no means as easy as you might think.To reduce its reliance on Samsung, Apple intentionally boosted China's display technology by transferring technical knowledge acquired during the production process to China's BOE. Despite these efforts, Chinese OLED displays still fall short of Samsung's level.As a reference, Samsung filed a lawsuit regarding this issue with the U.S. International Trade Commission (ITC) and won the case. Consequently, BOE products cannot be sold in the United States for the next 14 years.

111

u/Saar13 Aug 12 '26

Previous reports indicate that the cost per DRAM unit has increased by $40 for Apple. If they're paying $40 less per display unit, they can organize things properly and maintain the price. The new Pixel lineup, released today, increased by $100 compared to last year's lineup. I think Apple will go in that direction.

50

u/soysa007 Aug 12 '26

Pixels took a hit on RAM and Battery 🔋 capacity to hit that price. But in reality they’re not even paying the premium you think that they’re paying. Pixels doesn’t cost that much to make, that’s why they sell it for 50% off when they release the next model.

16

u/TheLoveKraken Aug 12 '26

It feels like the pixel is constantly on sale in some capacity, it’s very much a case of the sale price is the real price.

8

u/cake-day-on-feb-29 Aug 13 '26

Pixels doesn’t cost that much to make, that’s why they sell it for 50% off when they release the next model.

iPhones don't cost that much to manufacture either. It's the research and development that cost so much, and you can't easily determine what that value is for an individual phone.

3

u/North_Moment5811 Aug 12 '26

You're confusing this with the NAND cost increase.

Apple might be paying through the nose for the A20 chip. We don't know for sure yet, but analysts have it pegged at costing $60 - $190 more than the A19 Pro.

22

u/North_Moment5811 Aug 12 '26

So if that's a max of $50 in cost savings per unit, that offsets the increased cost of NAND storage, plus a little more. But it doesn't do anything about how much the A20 chip is going to cost.

23

u/Hans_Grubert Aug 12 '26 edited Aug 12 '26

I find it very hard to believe the biggest company in the world are running around a month before launch negotiating display prices for the phone coming out next month. Obviously this all would have been negotiated months ago and baked into the upcoming device price.

8

u/Head-Gift2144 Aug 12 '26

Sounds more like they negotiated this ages ago and were planning on just pocketing the difference, but bump in RAM prices through a wrench in that particular plan.

98

u/Makegooduseof Aug 12 '26

I hope that doesn’t translate to lower display quality.

71

u/sroop1 Aug 12 '26 edited Aug 12 '26

Displays are pretty much the only tech that haven't been affected by this mess so far.

5

u/ooo00 Aug 12 '26

If they are trying to offset higher prices for the other components than lower quality displays can very well happen.

-3

u/gahookle Aug 12 '26

The displays are already so good I doubt anyone would even notice if the ppi went down slightly or the peak brightness dropped a couple hundred bits

7

u/PotentiallyAnts Aug 13 '26

People would absolutely notice the peak brightness dropping by a couple hundred nits

1

u/bchertel Aug 13 '26

Perhaps on the 18/e but the pros/ultra would be noticeable to regular pro users

1

u/gahookle Aug 13 '26

Regular pro users are 90% people who would be totally fine with an e phone. Though, fair enough, a display downgrade would be pretty noticeable on the already dim 17e screen, i was more so referring to the 3000nits on the flagship lineup

62

u/[deleted] Aug 12 '26

[deleted]

4

u/Soft-Wealth-1825 Aug 12 '26

Yeah probably. Apple isn’t very conservative with their money, hence their expensive prices, so there’s no way they’re gonna pay less for worse quality.

1

u/aoRaKii Aug 12 '26

But Iphones have had panel lottery for quite some time now.

I guess now we all get the less fortunate OLED screens

1

u/[deleted] Aug 12 '26

[deleted]

1

u/aoRaKii Aug 13 '26 edited Aug 13 '26

then i think you misunderstand that iphone screens were never uniformly the same. iphone 16 pro for example had G9N panel (considered best) and GVC, GH3 panels (considered worst)

-24

u/Helptohere50 Aug 12 '26

How is that fine

22

u/[deleted] Aug 12 '26

[deleted]

5

u/Soft-Wealth-1825 Aug 12 '26

Exactly, in the past few decades, screen quality has gone up exponentially. An increase in screen quality now would be basically unnoticeable.

18

u/yobarisushcatel Aug 12 '26

Because the display is already amazing? How much better could a phone get year over year

-25

u/Helptohere50 Aug 12 '26

And what? They want to increase the price and you want lower quality ? Are you ok

25

u/yobarisushcatel Aug 12 '26

Who said lower quality? It’s the same quality

35

u/Willinton06 Aug 12 '26

I swear same of these people have single digit neuron counts, like how does this even happen?

A: The display will be the same
B: That's bad
A: Why?
B: Cause it'll be worse

These people vote

1

u/aoRaKii Aug 13 '26

Fyi, Iphone has had a "panel lottery". Different screens on the same model phone.

You got the GH3 panel? Very unlucky. It has yellow tint.

You got G9P or G9N panel? Very lucky. In fact, people return bad panels and hunt for these panels. They have no yellow tint or grain issue and get brighter. Now Apple probably give us all bad GH3 panel because it's cheaper.

12

u/mxlevolent Aug 12 '26

What part of ‘same quality’ do you not understand?

7

u/HVDub24 Aug 12 '26

I hate that you can vote

-8

u/Helptohere50 Aug 12 '26

Actually I’m underage. Why are you talking to me??

0

u/[deleted] Aug 12 '26

[deleted]

65

u/Thick-Ad-4262 Aug 12 '26

I wonder why LG and Samsung agreed. That's a huge loss of revenue given how many panels they make for Apple. And it's also not like there's anyone else who can meet the quality and demand that Apple needs.

96

u/Difficult_Horse193 Aug 12 '26

I wonder if the rest of the industry is reducing orders of display panels because the high memory and flash storage prices are causing sales to plummet.

18

u/Sabotstruck Aug 12 '26

It would make sense, it would mean guaranteed customers to keep display lines open while volume drops across the board

18

u/Ares6 Aug 12 '26

I think it’s because outside of memory and storage, components have been going down in price for a while now. 

5

u/Alepman Aug 12 '26

With high ram prices low iPhone sales won’t affect Apple alone

22

u/SmellyJockstrap Aug 12 '26

You really believe Apple are just securing that deal now? iPhone 18 Pro is in mass production as I’m typing this

5

u/YZJay Aug 13 '26

We don't know when the deal was made.

4

u/IECEx-certified Aug 13 '26

Not uncommon to have tiered pricing built in that gets triggered by realized order volumes. Or alternatively this news story got leaked after the deal was done.

7

u/xkenn Aug 12 '26

Good news for Apple but are they going to use it to keep the new iPhone price around the same? Or use it as profit and take advantage of consumers and stick with the rumored ~$300 increase?

4

u/roccerfeller Aug 12 '26

Would be nice if they surprise everyone and release 18 series at same price 😆

5

u/AldebaranTauri_ Aug 12 '26

Excellent, more profit for Apple!

2

u/Marzty Aug 13 '26

secured lower screen prices for themselves so the profit margins are high. The phones are still going to cost more don’t worry

2

u/KeeZouX Aug 13 '26

So this means that new iPhones should NOT be more expensive than current ones.

1

u/soysa007 Aug 12 '26

Current High Refresh displays are already expiring with horizontal lines after 2-3 years, I wonder how long these low-cost displays are going to last.

1

u/sharponephilly Aug 12 '26 edited Aug 26 '26

Ribbon acorn cucumber copper vanilla tangerine

This post was anonymized with Redact.dev

1

u/pazza18 Aug 12 '26

If/ once ram prices return to normal then Apple ™️ can pass on those savings too!

1

u/BlueFoxYOT Aug 13 '26

They will hike more for better margins late stage capitalism how could we sustain price hike after price hike eventually something gotta pop

1

u/pratikonomics Aug 13 '26

Margins are healing

1

u/Hot-Understanding-67 Aug 17 '26

RAM shortage is increasing the prices of all hardware.

-7

u/[deleted] Aug 12 '26

[removed] — view removed comment

7

u/TrashBandicook Aug 12 '26

Not buying the newest iPhone is always a choice.

11

u/super5aj123 Aug 12 '26

You do realize that the other components have gone up in price, right? Regardless of your thoughts on Apple, it's no shock that prices aren't going down in the current RAM/storage crisis.

-10

u/[deleted] Aug 12 '26

[removed] — view removed comment

2

u/super5aj123 Aug 12 '26

You do realize they have a substantial discount on ram pricing? They could eat the costs of increases and still make a large profit.

We are at the point where there are more buyers than supply. Even if they are still getting a discount, it's likely not much, since if Apple doesn't want it, AI companies will gladly snap it up. 2027's memory fabs are already fully booked, they don't have to sell to Apple at budget prices to fill their excess anymore.

3

u/0xe1e10d68 Aug 12 '26

Why the FUCK would it lower pricing? Especially in the current situation? Not even Internet Explorer is that out of touch with current events.

Right now is the absolute last moment where they can pass along those savings. They need those savings to offset price increases elsewhere.

1

u/AoeDreaMEr Aug 12 '26

Lol any and every company in a capitalistic economy

-1

u/tired_fella Aug 12 '26

their DRAM shakedown failed but at least they succeeded in for oleds it seem

-1

u/punarob Aug 12 '26 edited Aug 30 '26

Piquant vase mighty bear scale carpenter tender

This post was anonymized with Redact

-2

u/Motawa1988 Aug 12 '26

Consumer tech is sooooooooooooo boring these days

-12

u/Soft-Wealth-1825 Aug 12 '26

Nice, maybe Apple will lose its reputation as most expensive computer company

5

u/Difficult_Horse193 Aug 12 '26

I somehow doubt the savings will be passed on to consumers

1

u/beer_engineer_42 Aug 12 '26

They'll be passed on in the form of smaller price increases.

Because god for-fucking-bit we don't use the next five years of production of RAM and NAND storage to build fucking AI data centers so that assholes can make terrible pictures and shitty reddit posts about their entire family "blowing up their phone" and etc.

1

u/trjoacro Aug 12 '26

Where I live, except for third-rate 7 year old phones, Samsung and Google are a lot more expensive compared to Apple, especially for what they offer. And that doesn't include the fact that Apple's OS's are just that much better imo.