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Monday, May 7, 2012

iPhone 5 In-Cell Display Spells Loss for TPK, Wintek - Report

iPhone 5 In-Cell Display Spells Loss for TPK, Wintek - Report

TPK Holding and Wintek are expected to see their shipments of touch panels for iPhones decline 15-20% sequentially in the second quarter, as iPhone 4S is moving into the final stage of its product life cycle, and Apple is likely to adopt in-cell touch solutions for its next-generation model, according to industry sources.

In-cell touch panel (artist rendition) iPhone 5 In-Cell Display Spells Loss for TPK, Wintek - Report
Image credits: ismoothos.blogspot.com

Specifically, the two touch panel vendors "are expected to see their shipments of touch panels for iPhones decline 15-20% sequentially in the second quarter," the sources estimated.

The reason is Apple moving the iPhone 4S into the final stage of its product life cycle, the sources reportedly said, adding that "Apple is likely to adopt in-cell touch solutions for its next-generation model."

The in-cell panels are reportedly made by Sharp and Toshiba Mobile Display (TMD).

In-cell touch technology allows the touch layer to become part of the panel, which enables Apple to reduce the thickness of this component. Current technologies employed by TPK and Wintek make the touch layer an independent module.

Hence, it is estimated that “suppliers such as TPK and Wintek will be no longer able to receive touch module orders for the next-generation iPhone,” the sources said.

However, the same DigiTimes reported last month that TPK had already responded to Apple’s move by kicking off development of TOL (touch on lens) single-glass solutions.

TPK was quoted at the time as saying that TOL technology will be “more suitable for the production of high-end customized devices and that the market will accommodate more than one technology.”

It remains to be seen whether or not Tim Cook will keep TPK on board for the next iPhone.

Apple’s sixth generation iPhone, or the iPhone 5, as it is still referred to in the press, will likely debut in fall, around the same time the iPhone 4S launched last year.

Apple is believed to have phased out hardware announcements from its WWDC 2012 keynote, with the company having increased focus on software in the past events.

However, many pundits believe Apple is set to launch an all-new range of Macs at this year’s conference.

iPhone 5 In-Cell Display Spells Loss for TPK, Wintek - Report

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