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iPhone 8 costs higher due to Samsung cotrolling OLED, no touch ID due to 3D Touch

KGI, a fairly acuurate analysts shares a few details on why the iPhone 8/Edition is going to cost higher and the reason why Apple couldn't implement under screen Touch ID as they had initially hoped to

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The analysis breaks down the structure of the new iPhone’s display which KGI expects to include a flexible OLED panel, an OLED touch panel, a 3D Touch module, and an OLED panel module. The report believes Samsung will be responsible for providing each OLED part with the only exception in the stack being the 3D Touch module.

 

For that reason, Samsung is able to charge a premium on OLED panels which KGI expects will cost more than twice as much per unit as the LCD panels in the Plus model iPhones. Specifically, KGI estimates OLED unit cost at $120-$130 per unit versus the $45-$55 unit cost of LCD panels. This could certainly explain the expected price tag of around $1,000 when the current iPhone range goes from $650 to $970.

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And speaking of the 3D Touch module, the one part of the display stack Samsung doesn’t touch, KGI believes the pressure sensitive display technology is likely why Apple is believed to have abandoned Touch ID on the OLED iPhone .Apple was originally aiming to embed Touch ID under the display according to reports, KGI believes that OLED 3D Touch module creates an unfavorable scan-through performance for the fingerprint sensor.

 

So TLDR; Samsung currently has a monopolostic hold over Apple when it comes to OLED screen, charging them $120-$130 as opposed to $45-$55. This is also coupled with other production issues like 3d circuitry, 3d cameras, etc.

 

And Apple also couldn't under screen Touch ID to work properly with the OLED 3D touch layer.

 

So with numerous reports on the higher price tag, I think it's fair to say this is going to turn out to be true. This kinda a falls perfectly in line with my assumption that Apple was forced to make a 7s increase at the regular price tag in order to offset some of the iPhone customers into buying a higher priced model.

 

But I do however feel that the next bezelles series of iPhones will come down in price once LG (or somone else) starts mass producing OLED screens and when Apple solves the other production bottlenecks as reports say that they're prepping a larger 6” Plus model for next year indicating that they see a way out of this current constraints a produce iPhones in full capacity

 

Source: https://9to5mac.com/2017/09/06/kgi-iphone-oled-samsung-touch-id/

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GG Samsung, that's a nice move.

 

3 minutes ago, manikyath said:

it amuses me that apple uses so many samsung parts.


Samsung is currently the biggest chip maker in the world, from SoCs and coprocessors to RAM and NAND

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Apple could invest some in technology and develop their OLED. They are not short on money. Same how LG "developed" their P-OLED for V30. 

The ability to google properly is a skill of its own. 

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1 minute ago, Agost said:

Samsung is currently the biggest chip maker in the world, from SoCs and coprocessors to RAM and NAND

yes, but it still amuses me.

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Wow that is expensive.

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so they are finally going to catch up to other phones in that aspect?

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3 minutes ago, Dackzy said:

so they are finally going to catch up to other phones in that aspect?

Nah, it still has no headphone jack :P

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2 minutes ago, Bouzoo said:

Apple could invest some in technology and develop their OLED. They are not short on money. Same how LG "developed" their P-OLED for V30. 

They probably already are, it's probably still in the R&D phase.

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Still think 3D touch is quite useless. If I ever had an iPhone, I'd rather have TouchID in the screen over 3D Touch any day. But I'd never buy an iPhone, since Samsung still has headphone jacks (and that lovely screen..) Saving up for an S8 :) 

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I find it funny how Apple sued Samsung for so many copyright infringements, yet still chooses to use them... But then again, do they really have a choice? 

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1 minute ago, Kobathor said:

Still think 3D touch is quite useless.

That depends on the user. I use it quite rarely but I do appreciate it when I need it, but some users will utilize it as frequently as possible. I only really appreciate it for throwing Chrome into incognito from the home screen.

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That explains why the Note 8 got a mass price increase as well. Probably to hide things that would be illegal in some countries.

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1 minute ago, Suika said:

That depends on the user. I use it quite rarely but I do appreciate it when I need it, but some users will utilize it as frequently as possible. I only really appreciate it for throwing Chrome into incognito from the home screen.

But what is wrong with tap and hold? Takes about the same time as you need to press harder on the display.

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2 minutes ago, Suika said:

That depends on the user. I use it quite rarely but I do appreciate it when I need it, but some users will utilize it as frequently as possible. I only really appreciate it for throwing Chrome into incognito from the home screen.

Android 7.0+ has that functionality built-in though. All you do is long-press and it has the same options as it would on iOS. I do think that it is quicker and more elegant if you can just press harder on your screen, but at what cost? 

I used to be quite active here.

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15 minutes ago, GoodBytes said:

But what is wrong with tap and hold? Takes about the same time as you need to press harder on the display.

Having an easy to understand input (more pressure, different response) in addition to tap and hold is much more convenient than gestures or holding for even longer to get a different result.

 

I don't understand the "takes the same time" bit. Maybe I'm faster than you guys but I can apply more pressure to a screen much more quickly than the device recognizes that I'm tapping to hold.

14 minutes ago, Kobathor said:

I do think that it is quicker if you can just press harder on your screen, but at what cost? 

Not a huge cost since Apple's base model iPhones still cost less than the Galaxy S8 and the LG G6 (depending on carrier).

if you have to insist you think for yourself, i'm not going to believe you.

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3 minutes ago, Suika said:

Not a huge cost since Apple's base model iPhones still cost less than the Galaxy S8 and the LG G6 (depending on carrier).

At what cost was a cheesy comment, sorry. It wasn't about money though, I meant we have 3D touch at the cost of a huge bezel with TouchID or no TouchID. The cost is usability and design, not dollars. Price is a whole other story.

I used to be quite active here.

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The oled vs lcd cost is way misleading. Yes the lcd was 45 yes, oled is 130, and no they aren't getting ripped by Samsung for that price as it's an oledpanel. My Moto panel is 120 for example.

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49 minutes ago, GoodBytes said:

But what is wrong with tap and hold? Takes about the same time as you need to press harder on the display.

because tap and hold does other things lol

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Oh boy... Fanboys already finding excuses for a bunch of things and the phone isn't even out. 

 

Here is a crazy idea. Maybe OLED screens are expensive because they are hard to make? I mean, the reason for lack of competition is not because only Samsung is trying to produce OLED screens. They are the only ones managing to make good ones in fairly large quantities. If they were easy to make then I am sure LG, JPI and other panel makers would be all over it already. 

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1 hour ago, Kobathor said:

Still think 3D touch is quite useless. If I ever had an iPhone, I'd rather have TouchID in the screen over 3D Touch any day. But I'd never buy an iPhone, since Samsung still has headphone jacks (and that lovely screen..) Saving up for an S8 :) 

I really like 3d touch myself. Much like a right click for mobile. Android I can see making far better use of it though.

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Seriously? so a part that is costing say $65 more is the reason the price has shot up around $300?

 

More like Apple want to keep their approx $600 profit per phone sold.

 

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