Samsung sells AMOLED supply to Apple, delays Galaxy and Wave

A rumor based upon a series of tweets by Eldar Murtazin suggests that Samsung may have halted production of its Galaxy S and Wave handsets. The unforeseen stoppage is reportedly the result of a shortage of Super AMOLED displays for its popular Android and Bada-powered handsets. These two details, though unfortunate, are reasonable as AMOLED shortages have been common this year. Both the HTC Droid Incredible and Evo 4G were in short supply due to HTC’s inability to secure enough AMOLED displays to keep up with production. The Taiwanese handset manufacturer switched to SuperLCD technology as a compatible and abundant replacement.

While HTC and other manufacturers face a dearth of AMOLED displays, Samsung has been able to outfit its handsets with AMOLED technology as it is the world’s largest producer of AMOLED displays and used this pipeline to stock its handsets first. Based upon this scenario, one would assume that the Galaxy S and Wave are selling so well that the Korean manufacturer is exceeding its capacity to produce AMOLED displays and had to cut back on production. Sounds reasonable, but that is not the theory put forth by Murtazin.

According to Murtazin, Samsung’s delay in Wave and Galaxy S production is the result of Samsung selling a large quantity of AMOLED displays to Apple for 2011. As a result of this volume sale, the Korean manufacturer is switching its handsets over to SuperLCD. Samsung and Apple has a sordid recent history. The Korean manufacturer did claim that its Super AMOLED displays are superior to the iPhone’s Retina display, but Apple reportedly eschewed Samsung because the Cupertino company had concerns that Korean company could not meet demand for the iPhone 4.

Of course, such a rumor is highly suspect and should be presumed incorrect until proven otherwise. Nonetheless, one can not help but speculate on why Sammy would sell off its supply of Super AMOLED displays to Apple. Did Samsung sacrifice its handsets to snag a presumably lucrative order from Apple? Did Apple paid Samsung an obscene amount of cash to secure high-quality displays for the upcoming CDMA iPhone or perhaps the iPhone 5? Any thoughts?

[Via Twitter]

About The Author

Kelly Hodgkins

Kelly spent the last four years covering mobile technology at places like BGR, Gizmodo and The Unofficial Apple Weblog. Before writing, she spent a few years working with and teaching others how to use Adobe Flash and Macromedia Director. Even earlier than that, she spent several years as a Ph.D student in Microbiology. When she's not writing, she can be found fishing the lakes and hiking the mountains of Western Maine with her husband and tribe of children. You can follow her on Twitter @kellyhodgkins.

Maxime

Samsung produce one new screen technology per year. It keeps that technology for itself, and then sells it to others the following year.

That’s why this year, we have (had) lots of phones with AMOLED screens, but only Samsung phones with Super AMOLED.

Next year, Samsung’s high end phones will have their next screen (let’s call it Ultra AMOLED for now), and it will sell it’s Super AMOLED to others.

Could Apple have bought all of their Super AMOLED for 2011? Yes, that’s a possibility.

But Samsung will have something better for the follow-up of it’s Galaxy S and it’s next high-end Bada phone.
Hetal Patel

Thats means Samsung will kill its own Galaxy S Products, Kill own High Margin Successfull line and become Slave of Apple…… Impossible.

If they want to fight Against Apple. They must Supply Galaxy S in Sufficient Quantity.
Hetal Patel

Some time before Smasung targetd 30 Million sale of Galaxy S line they also told us some 2 billion super AMOLED production line for 5 time capacity of Super AMOLED productions. and now this dont match their previous goal
http://www.ryanwaddell.com Ryan Waddell

I would find it highly suspect that a) Apple would be buying up all of Samsung’s Super AMOLED supply, when they’ve been pushing the Retina display so heavily and b) Samsung would quit producing it’s most successful phone (the Galaxy S) just as it’s busy launching it in ever more markets worldwide (Canadian launch of the Captivate is coming up in October).
RaymondP

I think this is all nonsense!
http://viettelonline.com/ HoaiPX

Well, interesting post, thanks!