LG Display Co. Ltd (LPL) said Tuesday that it’s planning a $13.5 billion investment to expand production of a key screen type that is expected to be used in Apple Inc.’s (APPL) newly-designed iPhone.
The South Korean group, a key Apple supplier, plans to boost the production of organic light-emitting diode (OLED) screens over the next three years through and existing facility in China and two new lines outside the capital of Seoul. LG also second quarter earnings of 804 billion won ($721 million), up from 44.4 billion won in the same period last year.
“The customer base for OLED TVs and signage displays is expanding, alongside rapidly increasing OLED demand from the mobile and automotive markets,” the company said. “LG Display made its decision in a timely manner to actively respond to changing and growing markets.”
The moves could expand the supply base for the OLED screens that are expected to be used in the new anniversary edition of the iPhone which is expected to be unveiled this fall.
In fact, The Investor reported earlier this month that Apple was said to be in talks with LG Display about investing between 2 trillion to 3 trillion won ($1.75 billion to $2.62 billion) in the new OLED production lines exclusively dedicated to Apple orders.