Apple supplier ams OSRAM on Wednesday announced it would “re-assess its microLED strategy” after a “cornerstone project” was “unexpectedly cancelled” that day. Following that announcement, the company’s stock plunged precipitously (40%). (Via AppleInsider)
While neither ams Osram nor Apple have ever publicly confirmed that the Austrian firm supplies micro LED displays for the upcoming Apple Watch Ultra 3. However, past reports have linked the two companies. In 2023 it was reported that the company would see increased revenues in 2025, when the Apple Watch Ultra 3 with the technology was expected to debut.
ams Osram is now reeling after it announced the cancellation of a major micro LED order. The company announced the cancellation to comply with the SIX Swiss Exchange.
“The shock is still deep,” CEO Aldo Kamper said on a conference call about the filing. The company had already built a purpose-made $1.41 billion factory in Malaysia.
“We thought everything was on track,” added CFO Rainer Irle. Irle also said that the company was looking to sell the new factory.
ams OSRAM said “Discussions with the related customer are ongoing,” so an Apple Watch Ultra with a microLED display could still happen, and the project may just be delayed. The device was expected to launch in 2025 or 2026, but it may take longer to be released, if ever.
microLED display technology has several advantages over OLED displays, including higher brightness, decreased power consumption, improved contrast ratio, and other benefits. There is also much less risk of screen burn-in, and microLEDs have a longer potential lifetime.
In October 2023, tech analyst Jeff Pu, said the first Apple Watch with a microLED display is on schedule for a late 2025 launch.
