Massive iPhone Blowout Sales in Fiscal 2018 From Apple? Upcoming 2017 iPhone Models Reported To Feature OLED Display

By R. A. Jayme - 22 Nov '16 09:19AM

Bloomberg recently published an article discussing Apple's desire to add organic light-emitting diode (OLED) based displays to next year's iPhones and the supply-chain challenges that Apple faces in trying to do so.

"The supply constraints may force Apple to use OLED in just one version of the next generation iPhone, push back adoption of the technology or other snags," the authors wrote.

Separately, KGI Securities analyst Ming-Chi Kuo said in a recent report that Apple is preparing three iPhone models -- 4.7-inch and 5.5-inch models with traditional liquid crystal displays, and a 5.1- to 5.2-inch version with a curved OLED display.

Bases again on the report by Bloomberg, the authors have said that "Apple's initial OLED order from Samsung is for 100 million units over one year," according to sources.

Assumingly if both report were true, then this could suggest something incredibly positive for Apple investors: Apple might be preparing for a surge in its iPhone business during its fiscal year 2018.

Apple might be preparing for a surge in its iPhone business during its fiscal year 2018. In fiscal year 2016, Apple shipped just shy of 212 million iPhone models. This included iPhone 6, iPhone 6 Plus, iPhone 6s, iPhone 6s Plus, iPhone SE, and an initial batch of iPhone 7 and iPhone 7 Plus sales.

It was reported that likely, Apple will ship a similar number of iPhone models during fiscal year 2017. With that context in mind, 100 million OLED displays for a special, ultra-premium iPhone planned for sale throughout fiscal year 2018 seems quite significant, according to Fool.com. This suggests that Apple is expecting a large portion of iPhone buyers next year to opt for the curved OLED model.

Based on the analysis of Fool.com, Apple would not only enjoy significant year-over-year iPhone unit growth due to " cannibalization" of iPhone 8/iPhone 8 Plus by iPhone 8 OLED which would imply substantial iPhone average selling price growth of the older models.