Lack Of Thin Displays Cause Of iPhone 5 Shortage

by Mike on September 25, 2012

Analysts were disappointed with the opening weekend 5 million iPhone 5 sales figure that Apple touted which resulted in an immediate decline in stock price. Although Apple may not have met the benchmark that was set for them, five million is still a strong showing, especially when you consider that it appears that the company is suffering from a shortage of display panels for their sixth iPhone.

The iPhone 5 features in-cell displays and this is the first that that Apple has made use of this technology. Essentially, in-cell displays makes use of touch sensors that have been embedded directly into the display screen and the purpose of this is to make the handsets even slimmer.

In terms of supplies of these new displays, Apple has given the nod to both Japan Display Inc and LG Display Inc and to ensure that Apple can maintain the number of screens required, Apple has also engaged Sharp. Unfortunately for the Cupertino company, it would seem that Sharp is facing some challenges that has resulted in screen defects that need to be fixed. This in turn has delayed their shipments and this is causing screen shortages.

Apple may have sold 5 million iPhone 5 handsets, but this number is below the 6.5 million that was estimated and screen shortages was one reason. Hence, it was not a lack of demand that saw the company not meet expectations but rather problems with its supply chain.

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