Sign in with
Sign up | Sign in

Apple Expected to Spend $9B on iPhone, iPad Displays in 2012

By - Source: IHS via email | B 31 comments

Quickly increasing iPad and iPhone sales will cause Apple's spending on gadget displays to almost double this year.

IHS estimates that Apple will shell out about $9.0 billion for iPhone, iPod and iPad displays in 2012, up from $4.7 billion in 2011. According to the market research firm, a 69 percent shipment increase for the company's smartphones and tablets as well as more expensive technologies will drive the significantly higher expense.

“Apple in 2011 had already established itself as a major purchaser of displays for smart phones and media tablets,” said Vinita Jakhanwal, senior manager for small & medium displays at IHS. “However, combined with continuing strong sales growth of the iPhone, the arrival of the new-model iPad will put Apple’s display-purchasing growth into overdrive in 2012. Along with the high volumes of expected sales, the use of more advanced technology will boost revenue for the iPad screens, increasing Apple’s display expenditures dramatically.”

The new 264 ppi, 2048x1536 pixel QXGA display in the new iPad is believed to carry a substantial price premium over the previous 130 ppi, 1024x768 pixel XGA screen. However, Apple may receive steep discounts as it has invested in display makers LG, Sharp and Toshiba Mobile Display.

IHS said that more than 80 percent of the money Apple spent for iPhone displays were attributed to the 326 ppi, 960x540 QHD pixel display that is used for the iPhone 4/S. Still, the market research firm said that Apple has huge leverage in the market and was able to negotiate price reductions to keep costs under control. IHS also speculated that a new 4-inch screen iPhone will keep a pixel density of about 320 ppi, but jump to a 1024 by 768 pixel format.

Display 31 Comments.
This thread is closed for comments
Top Comments
  • 13 Hide
    eklerus , March 11, 2012 9:19 PM
    How can all companies offer services for all budgets and this one doesn't ?
  • 12 Hide
    AznCracker , March 11, 2012 11:51 PM
    They will spend $9 billion, but will charge you $30 billion for those improvements.
Other Comments
  • 13 Hide
    eklerus , March 11, 2012 9:19 PM
    How can all companies offer services for all budgets and this one doesn't ?
  • 8 Hide
    Vladislaus , March 11, 2012 9:23 PM
    IHS also speculated that a new 4-inch screen iPhone will keep a pixel density of about 320 ppi, but jump to a 1024 by 768 pixel format.

    Using a 4:3 format would mean that the iPhone would be a lot wider, so I have my doubt that Apple will change the aspect ratio of the screen.
  • -7 Hide
    Anonymous , March 11, 2012 9:24 PM
    They do offer budgets, 16g,32g,64g. Those are priced at different amounts. Buy which one is in your budget.
  • 4 Hide
    halcyon , March 11, 2012 9:36 PM
    Vladislaus
    IHS also speculated that a new 4-inch screen iPhone will keep a pixel density of about 320 ppi, but jump to a 1024 by 768 pixel format.
    Using a 4:3 format would mean that the iPhone would be a lot wider, so I have my doubt that Apple will change the aspect ratio of the screen.


    Perhaps 1366x768?
  • 0 Hide
    Anonymous , March 11, 2012 9:52 PM
    Wow, thats a lot of money. They will probably exceed that much in my opinion because many people who bought iPad 1's didn't buy a two. It will be time for an upgrade. I mean look at this, people are in line already! http://detectapple.com/people-in-line-for-new-ipad-already/
  • -5 Hide
    rantoc , March 11, 2012 9:58 PM
    And zero to the workers creating them and donations in order to improve life of other.. nah stockpile the profit in a vault instead!
  • 2 Hide
    alidan , March 11, 2012 10:05 PM
    will this mean good news for the consumer?

    apple invests in insane screens, we see a trickle down to normal pc monitors?

    i mean an ipad 3 costs 500$ right? if we cut all the extra crap out of it, what does just the screen cost...

    i mean i have a 1920x1200 currently, would love a 2560x1600, but cost... but if that 10 inch screen gets made in bulk... will it effect the process to make computer monitors too, so we can be offered 2560x1600 at a 500$ or less price point?
  • 1 Hide
    dragonsqrrl , March 11, 2012 10:11 PM
    "IHS said that more than 80 percent of the money Apple spent for iPhone displays were attributed to the 326 ppi, 960x540 QHD pixel display that is used for the iPhone 4/S"

    The display on the the iPhone 4/4S is 960x640.
  • 0 Hide
    halcyon , March 11, 2012 10:39 PM
    soldier37Apple has finally fallen behind Android and I just traded in my Iphone 4 last week for a galaxy note. Waiting for the Iphone 5 has taken way too long so Ive moved on. Even when the 5 does come out this Fall it wont be able to compete against the Galaxy S3 and those specs it supposedly will have. It was nice for a while but now I dont miss it.


    Don't be too sure. A lot of people just don't care about the specs and focus more on the entire package...build quality, ease of use, ecosystem , etc. So while the Galaxy S3 will undoubtedly be a spec monster how will the surrounding ecosystem be? Will it still be encased in plastic? Will it be just as easy or easier to sync your music library and playlists for the average consumer?

    I really like my Razr Maxx but I won't say it's better than an iPhone 4...it's just different.
  • -5 Hide
    JOSHSKORN , March 11, 2012 11:18 PM
    $9 billion on screen improvements. How much on improving workers conditions? 3 cents?
  • 12 Hide
    AznCracker , March 11, 2012 11:51 PM
    They will spend $9 billion, but will charge you $30 billion for those improvements.
  • 4 Hide
    amdphenomx4 , March 12, 2012 12:04 AM
    Apple wouldn't change the screen ratio and pixel ratio of the iPhone. They will just make it bigger with the same resolution. They did the 4's display as it was easy to upscale everything from the previous phones as it was just twice the resolution. Anything different will screw up apps.
  • 3 Hide
    zachusaman , March 12, 2012 1:36 AM
    9b on the screens and 5k on the 10,000 workers to assemble them all
  • 2 Hide
    sinfulpotato , March 12, 2012 2:42 AM
    They spend money on these?? Being magical and all, I thought wizards did it.
  • 1 Hide
    Anonymous , March 12, 2012 3:41 AM
    Ya know all this negative about paying workers. It's not just Apple. No one on manufacturing lines in that area make much money. Blame the minimum wage laws honestly. If the US wasn't full of people wanting 15$ an hour to tighten down screws all this stuff would be made here at minimum wage
  • 1 Hide
    Anonymous , March 12, 2012 3:49 AM
    Correction: iphone 4 doesn't use 960x540 its 960x640.
  • 0 Hide
    d8v1d , March 12, 2012 7:59 AM
    Apple should just buy a LCD manufacturing company with its almost 100 billion in cash.
    That would reduce cost and then they can start research on OLED displays for their iTV line.
  • 3 Hide
    halcyon , March 12, 2012 8:47 AM
    d8v1dApple should just buy a LCD manufacturing company with its almost 100 billion in cash.That would reduce cost and then they can start research on OLED displays for their iTV line.


    I'm sure that's been considered by minds greater than ours.
  • -1 Hide
    zachusaman , March 12, 2012 10:34 AM
    gritYa know all this negative about paying workers. It's not just Apple. No one on manufacturing lines in that area make much money. Blame the minimum wage laws honestly. If the US wasn't full of people wanting 15$ an hour to tighten down screws all this stuff would be made here at minimum wage

    minimum wage laws? 15 bucks?
    are you stupid? I dont know where your from, but in Minnesota, minimum wage is 7.25
  • 1 Hide
    halcyon , March 12, 2012 10:45 AM
    zachusamanminimum wage laws? 15 bucks?are you stupid? I dont know where your from, but in Minnesota, minimum wage is 7.25


    I'm not sure you understood the post you're responding to before acting young. Grit wrote wanting 15$....
Display more comments