Samsung plans to slash production at its OLED panel plant in response to customer Apple's decision to reduce output of the iPhone X following weak demand, Nikkei reports. Samsung Display now plans to manufacture organic light-emitting diode panels for 20 million or fewer iPhones at its South Chungcheong site in the January-March quarter of 2018. The initial goal was to supply panels for 45-50 million iPhones.
According to the same source, the company has yet to decide its production target for the April-June period, but a further reduction is expected. The new target will reduce production at the plant to around 60 percent of the initial plan. For the facility dedicated to making panels for Apple, the rate will fall to 50 percent or lower.
Samsung Display now plans to offset the impact by winning more orders from Chinese and other customers.
