Apple may invest $1 billion in a Sharp LCD factory to ensure adequate production of screens for its iPhone and iPad, according to MF Global FXA Securities analyst David Rubenstein. Apple typically buys its LCD displays from Samsung, LG and Chimei Innolux, although recent reports have suggested the iPhone maker has boosted its orders with Samsung after LG failed to meet iPad 2 display requirements.
Apple’s recent legal battles with Samsung in the United States, the European Union and Australia could be why the company is looking to invest in other manufacturers. “If the situation escalates into a state of war, this could mean a huge shift in orders,” a source told Reuters, suggesting that Apple could give larger orders to Elpida Memory and Toshiba.
Sharp is expected to provide the LCD displays for Apple’s sixth-generation iPhone, which is expected to launch next year.
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