Apple to launch IT devices with OLED displays from 2024

As Apple starts to roll out IT devices with OLED displays from 2024, Research Manager Jerry Kang provides his analysis on their strategy to diversify into OLED display technology adoption.

As it is already known in the industry, Apple will be launching the iPad Pro with OLED displays in 2024. LG Display (LGD) and Samsung Display (SDC) are preparing to mass-produce RGB tandem stack and hybrid OLEDs from their half-Gen 6 fabs. Apple also plans to launch the MacBook Pro with OLED displays in 2026. BOE, LGD, and SDC are preparing their fab investments to produce RGB tandem stack and hybrid OLEDs at half-Gen 8.7 fabs.

Apple first launched its IT devices with LCDs more than a decade ago. A few years ago, it started to apply LCDs with mini-LED backlighting for iPad Pro and MacBook Pro models, which became best-sellers among mini-LED products. However, demand for mini-LED displays by other IT makers remains low because of high manufacturing costs.

1. Figure 1: Cost comparison of LCD/OLED vs. Mini LED backlighting

Source: Omdia

In the short term, it is reasonable for Apple to apply OLED displays for its IT devices because it has been using OLED displays since 2014, with the Apple Watch and iPhone. However, technically, the bigger issue would be how OLED displays can be applied for Apple devices that are larger than the Apple Watch and iPhone. IT devices usually have a greater viewing distance than smartwatches or smartphones and are used for a longer duration to watch movies, enjoy games, or manage documents. It is also important to secure a stable yield rate and proper cost structure for manufacturing the much larger IT device displays (compared to smartwatches or smartphones). 

RGB tandem stack and hybrid OLED can secure better performance and stable yield rate

RGB tandem stack OLEDs have a brightness efficiency of 2x higher and 4x longer lifetime than RGB single stack, where the RGB tandem stack is achieved by doubling the emitting materials. However, material costs can increase owing to more materials required for additional emitting material layers. In addition, systems (such as evaporating systems and shadow masks for evaporating) will need to be expanded; compared to RGB single stack OLEDs, twice the amount of evaporation is required for RGB tandem stack OLEDs. Therefore, the thickness and properties of each layer of the RGB tandem stack OLEDs should be optimized to ensure greater productivity.

2. Figure 2: Comparison of RGB single stack vs. RGB tandem stack OLEDs

Source: Omdia

Hybrid OLEDs can be thinner and lighter than rigid OLEDs, more economical than flexible OLEDs, and manufactured using glass substrates via thin-film encapsulation (TFE). The glass substrates are flatter and stronger than flexible ones. Therefore, it is better to fabricate the TFT on the glass substrate surface (even if the substrate is over 10 inches), using a simple manufacturing process and a higher yield rate.

TFT is helpful when merging technologies, such as the touch sensor and color filter on TFE, under-panel camera, and micro light-control pattern, which can add value and quality. Therefore, there are more advantages to using Gen 6 flexible OLED capacity as its line can perform the TFT process.

3. Figure 3: Hybrid OLEDs can be thinner and lighter than rigid OLEDs

Source: Omdia

Here, Omdia analyzes how Apple may diversify its IT OLED manufacturing technology by application in the near future. Technology specifications will differ by application; each IT device yields a different user environment, including size, viewing distance, brightness, lifetime, and control method.

4. Figure 4: Apple’s IT OLED panel roadmap scenario (Omdia’s estimation)

Source: Omdia

First, glass encapsulation may replace TFE as display sizes grow and exceed 20 inches because the TFE yield rate decreases for larger-sized applications. However, if the yield rate can stabilize for TFE of larger sizes, TFE will not be replaced with glass encapsulation.

Second, glass substrates can be replaced with flexible substrates for foldable applications. Apple plans to launch its foldable iPad in 2026, but the substrates will not be replaced with flexible substrates unless the displays must be flexible (for example, foldable or rollable).

Third, oxide TFT will be applied for the MacBook and iMac, while LTPO TFT will be applied only for the iPad. Because of cost competitiveness, oxide TFT would be better for notebook and monitor applications compared to LTPO TFT. For the same reason, OLED display suppliers are trying to invest in Gen 8.7 fabs for MacBook OLED displays, targeting mass production in 2026.

Fourth, the fine metal mask (FMM) process can be replaced with QD OLED, WOLED, or any other process without FMM. The process is difficult to apply for monitor applications because of FMM width limitations (from the invar sheet). For this reason, a few OLED display suppliers have recently become interested in the mask-less evaporation process from Applied Materials Inc.