Apple Developing MicroLED Screens for Smart Devices like Apple Watch and iPhone

According to a report published by Bloomberg, Apple Inc. is using a secret facility in California in a project overseen by Lynn Youngs, in charge of iPhone and Apple Watch screen technology, to design and manufacture prototype MicroLED screens. The company is believed to have produced fully functional Apple Watch-sized small number of MicroLED screens at the facility for testing, a move that could affect Asian display suppliers to the U.S. tech giant over the long-term. Apple will be using the technology commercially for the first time in the ch. The Apple Watch currently uses OLED screens from LG Display.

MicroLED and OLED Technologies

MicroLED is a complex new emissive display technology that has captivated the interest of several tech firms. Like OLED, in MicroLED each pixel gives off its own light instead of relying on backlighting for the entire panel. This can give MicroLED excellent contrast, power efficiency, and viewing angles without OLED's compromises on brightness or longevity. Screens using MicroLED are thinner, brighter, use less power and are more durable than the OLED displays that are increasingly being adopted for a variety of smart devices.

Tech Firms Engaged in MicroLED

Samsung is also working on MicroLED and showed off a 146-inch modular TV using the technology at CES in January. The TV, dubbed “The Wall,” is expected to go on sale in August this year, although no price has been announced yet.

Other tech giants looking at the technology include Taiwan’s Hon Hai Precision Industry Co Ltd, Apple’s main contract manufacturer. It acquired U.S. MicroLED display startup eLux Inc last year through Sharp Corp and other group units.

Apple‘s Quest

Apple has shown interest in MicroLED technology earlier. It bought the startup LuxVue in 2014, and there have been many subsequent reports on how the purchase might be put to use. Last year Nikkei said that Apple planned to use MicroLED in the Apple Watch, identifying a facility in Taoyuan, Taiwan as being dedicated to the tech's development. The facility was previously owned by Qualcomm and used for Mirasol displays.

Use in Wearable Computers First

Bloomberg speculates that if Apple were to master the design of MicroLED to the point where it could be mass-produced for use in mainstream devices, it'd be the first time Apple is able to design screens “end-to-end.” But since the report also notes that Apple will likely have to outsource the actual manufacturing of its screens, the result may not be too different to what happens today, where companies like Samsung and LG Display produce LCD and OLED panels to Apple's designs and specifications. The company aims to use the new technology in its wearable computers first, the report said, adding that it is unlikely to reach an iPhone for at least three to five years.

Apple’s Aim to Control What Goes into Its Products

At this point, though, MicroLED isn't a mature technology which is unproven and difficult to use. However, Apple's move into actually manufacturing screens itself, even at a small scale for testing purposes, is further evidence of the company wanting to have more of a control in what goes into its products. If Apple is able to master certain aspects of designing MicroLED screens and keep its breakthroughs to itself for as long as possible, it may still be able to hold advantages in quality even if the panels have to be manufactured by a third party.

Share Value Declines in Asian Display Manufacturers

Shares in Asian display manufacturers initially slumped on the news, but later trimmed losses. Shares in Sharp Corp, Japan Display Inc and LG Display Co Ltd ended the day between 1.6 percent and 2.4 percent lower.