Apple shifting iPad 2 display orders to Samsung amid LG incompetence

According to sources disclosing information to tech industry site DigiTimes, Apple has moved orders of iPad 2 displays from LG Display to Samsung and Chimei Innolux after quality issues with LG Display units caused shipping delays.

Apple

According to sources disclosing information to tech industry site DigiTimes, Apple has moved orders of iPad 2 displays from LG Display to Samsung and Chimei Innolux (CMI) after quality issues with LG Display units caused shipping delays.

With shipping times holding at one to two weeks for much of the year, the iPad 2 demand far out-paced LGD's ability to produce quality screens. This, according to the report, is what drove Apple to call on Samsung and CMI to start producing displays.

Samsung has doubled its iPad 2 screen production forecast from 1 million units to 2 million units, while LGD's forecast of 4 million units only yielded about 2.5 million units.

CMI is an affiliate of Foxconn Electronics, the manufacturer of many Apple products including the iPad 2, and stands the best chance of picking up the bulk of Apple's display orders due to Samsung's market competition with Apple (Galaxy Tab).

LGD, according to the DigiTimes sources, must quickly resolve its quality issues if it is to remain the main iPad 2 display supplier.

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