November 20, 2024
Apple Paid Samsung $686 Million for Failing to Meet Minimum OLED Panel Orders [Report]

Apple Paid Samsung $686 Million for Failing to Meet Minimum OLED Panel Orders [Report]

Posted July 5, 2019 at 4:42pm by iClarified
Apple paid Samsung around $686 million for failing to meet minimum OLED panel orders, according to a Reuters report.

Samsung recently announced profit guidance for the second quarter of 2019, forecasting a steep plunge in operating profit. In a regulatory filing, the company revealed its April-June operating profit fell 56% to 6.5 trillion won ($5.6 billion). Revenue fell 4.2% to 56 trillion won.

Notably, the company confirmed a one-off gain in the division which supplies screens to Apple. Previous reports had predicted that Apple would owe Samsung Display hundreds of billions of won in penalties for not meeting minimum orders as part of its contract to secure a supply of OLED displays.


One-off gains in the display division, which supplies display panels to Apple Inc (AAPL.O), were reflected in the operating profit, the company said without elaborating. Samsung received reimbursement worth about 800 billion won for display panels sold to Apple as the U.S. smartphone maker missed a sales target the parties had agreed on, analysts said.

This will be Samsung's third consecutive quarter with year-on-year profit declines. It's said that falling chip prices due to an excess in supply and U.S. sanctions on Huawei are to blame.

Read More


Apple Paid Samsung $686 Million for Failing to Meet Minimum OLED Panel Orders [Report]


Add Comment
Would you like to be notified when someone replies or adds a new comment?
Yes (All Threads)
Yes (This Thread Only)
No
iClarified Icon
Notifications
Would you like to be notified when we post a new Apple news article or tutorial?
Yes
No
Comments (1)
You must login or register to add a comment...
1reader
1reader - July 7, 2019 at 10:37pm
So, Instead of making them cheaper, they (Apple) prefer to pay penalty... hm ...
Recent. Read the latest Apple News.
RECENT
Tutorials. Help is here.
TUTORIALS
Where to Download macOS Ventura
Where to Download macOS Sequoia
AppleTV Firmware Download Locations
Where To Download iPad Firmware Files From
Where To Download iPhone Firmware Files From
Deals. Save on Apple devices and accessories.
DEALS