Apple Is Said to Develop Displays to Replace Samsung Screens

Apple is designing and producing its own device displays using a secret manufacturing facility near its California headquarters to make small numbers of the screens for testing purposes, according to Bloomberg, citing people familiar with the situation.

The technology giant is making a significant investment in the development of next-generation MicroLED screens, say the people, who requested anonymity to discuss internal planning. MicroLED screens use different light-emitting compounds than the current OLED displays and promise to make future gadgets slimmer, brighter and less power-hungry.

The screens are far more difficult to produce than OLED displays, and the company almost killed the project a year or so ago, the people say. Engineers have since been making progress and the technology is now at an advanced stage, they say, though consumers will probably have to wait a few years before seeing the results.

The ambitious undertaking is the latest example of Apple bringing the design of key components in-house. The company has designed chips powering its mobile devices for several years. Its move into displays has the long-term potential to hurt a range of suppliers, from screen makers to companies that produce chip-screen interfaces.

Controlling MicroLED technology would help Apple stand out in a maturing smartphone market and outgun rivals like Samsung that have been able to tout superior screens. Mass producing the new screens will require new manufacturing equipment. By the time the technology is ready, something else might have supplanted it. Apple could run into insurmountable hurdles and abandon the project or push it back. It’s also an expensive endeavor.

Ultimately, Apple will likely outsource production of its new screen technology to minimize the risk of hurting its bottom line with manufacturing snafus. The California facility is too small for mass-production, but the company wants to keep the proprietary technology away from its partners as long as possible, one of the people says.