Apple 'Likely' to Reimburse Samsung for Missing OLED Display Purchase Targets Due to Poor iPhone 12 Mini Sales

Apple is likely to reimburse Samsung Display over a shortfall in OLED panel orders owing to lower-than-expected demand for iPhone 12 mini models, according to The Korea Herald.

iphone 12 vs iphone 12 mini
Samsung's small OLED shipments dropped globally in January by 9 percent month-on-month to 45 million units, according to market data gathered by Omdia, which pins the decline on sluggish iPhone 12 mini sales. Apple is likely to compensate Samsung for the missed OLED panel purchase targets as a result, an industry source told the Herald:

"It is uncertain whether Apple would pay a penalty to Samsung Display, but considering its contract history and sluggish sales of the iPhone 12 mini, it is likely that Apple will compensate Samsung," an industry official said on condition of anonymity.

Samsung is the sole supplier of the 5.4-inch panel used in the iPhone 12 mini, the smallest model of Apple's 5G-supporting iPhone 12 series.

If the prediction turns out to be accurate, it would be the third time that Apple has had to reimburse Samsung for missing OLED display targets after saying it would buy a certain number of the panels from the South Korean company.

Apple reportedly paid Samsung an estimated $683 million in 2019 and approximately $950 million in 2020 for similarly below-par OLED panel orders.

Samsung remains the world's leading smartphone display panel vendor, and has provided the overwhelming majority of OLED panels for Apple's iPhones over the last few years.

According to Omdia, global OLED panel shipments reached 53 million units in January, and Samsung Display accounted for 85 percent of them.

Despite a barrage of reports this year suggesting lackluster iPhone 12 mini sales, Apple is expected to retain its smallest 5.4-inch iPhone model size in its forthcoming iPhone 13 lineup.

Related Roundup: iPhone 12
Tag: Samsung
Related Forum: iPhone

Top Rated Comments

jonnysods Avatar
20 months ago
Apple please don't drop the Mini! Rework it as an SE or something, I love the form factor.
Score: 24 Votes (Like | Disagree)
2ilent8cho Avatar
20 months ago

This is the problem with listening to small very vocal groups, not just for Apple but for the world. Twitter/Forums/Reddit are not representative for anything.
It's not like the mini has not sold. Some do want a smaller iPhone, i am one of those, is it really that difficult for a company the size of Apple to offer 3 sizes of phone and keep them up to date annually? Thats all i want.
Score: 24 Votes (Like | Disagree)
dz5b609 Avatar
20 months ago
This is the problem with listening to small very vocal groups, not just for Apple but for the world. Twitter/Forums/Reddit are not representative for anything.
Score: 22 Votes (Like | Disagree)
sdz Avatar
20 months ago

This is the problem with listening to small very vocal groups, not just for Apple but for the world. Twitter/Forums/Reddit are not representative for anything.
They priced that thing wrongly. Plain and simple. Battery weak, price too steep.
Score: 19 Votes (Like | Disagree)
Rob__Mac Avatar
20 months ago
I would actually love an iPhone Pro Mini - the most important feature for me is the camera.
Score: 14 Votes (Like | Disagree)
LunarDog Avatar
20 months ago
It's all my fault! I was planning to buy a 12 mini, but my 1st gen iPhone SE is still working like a charm.

Maybe I'll go for iPhone 13 mini, if it has a minijack for my earphones.

I know, I know, it's time to switch to lightning earphones or those fancy "blue tooth" thingies, but I won't be able to use them with my old iPod.

So maybe it's Apple's fault for making indestructible devices.
Score: 12 Votes (Like | Disagree)

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