Apple cancels its microLED wearable display project

Apple entered into the microLED display industry in 2014, following the company's LuxVue acquisition. Since then the company has been very active with microLED development, with a first goal of replacing its wearable OLED displays with its own microLED displays. 

Apple started developing microLED displays for wearable devices years ago, first aiming to launch the first product in 2023. The project was delayed several times, as the cost of production for microLED displays was too high for Apple, to the point where it was suggested Apple's goal is to launch the first microLED watch in 2027. One of Apple's key microLED partners, ams-Osram is is building a $850 Million 8-inch microLED epiwafer factory in Malaysia, and yesterday ams-Osram announced that its "cornerstone project" (it did not name Apple specifically) got unexpectedly cancelled. 

Apple's move to cancel its microLED project may have wide implications for the microLED industry. Osram already announced it will need to re-assess its microLED strategy (and it believes it will have impairment charges of $650-$900 million). While Apple is only one of many microLED developers, it has a strong effect on the display industry's psychology - and other companies may perhaps now reconsider their microLED strategy and goals. 

It is clear that moving microLEDs from prototype production and pilot production to full scale commercial production is extremely challenging, on both the cost perspective, and the performance perspective. Our own estimates, and one backed by MicroLED Association members, is that while microLEDs have high promise and are likely to be the display technology to replace OLEDs, it will likely take at least 5-10 years for the technology to mature in most display segments.