Kick in the glass: Innolux gets nod to supply glass for Amazon phone, AUO loses Apple iPad mini gig

According to Taiwan based supply chain sources, Innolux has been selected to provide the TFT-LCD displays for the Amazon smartphone. As we told you the other day, this device is expected to measure 4.7 inches. The long rumored device is expected to see daylight in the second quarter although the word is that the phone might not arrive on schedule because of problems at contract manufacturer Foxconn.

Things are looking up for Innolux. Earlier Thursday, we told you that according to the Taipei Times, NPD DisplaySearch executive David Hsieh has passed along the word that Innolux is replacing Samsung Display as a provider of panels for the Apple iPad mini. The two new jobs should help Innolux make up for prior years of red ink.

But for every winner, there is a loser. In this case it is AU Optronics (AUO). The company had been providing 7.9 inch panels for the Apple iPad mini but will not be doing so for the next-generation model of the tablet. The reason has to do with the company's inability to produce Retina-class panels based on oxide TFT. The company does not have the technology to do so, and in addition, has had a hard time reaching a decent yield with the production of the current screen. This led to delays in shipping the glass in the fourth quarter. Although the company has improved yields on the 7.9 inch panel, without the technology to produce Retina display panels using the oxide TFT technology, LG Display is expected to be the main supplier of the panels for the next Apple iPad mini. AUO's production of screens will now go to Sharp.

The oxide TFT display is supposed to use less battery power than currently produced TFT glass, improving a device's battery life. And since it uses fewer LEDs, it should also make a device lighter.

source: DigiTimes (1), (2)