Ming-Chi Kuo’s latest report points out that shipments of iPads and MacBooks equipped with mini LED displays are expected to exceed expectations. This means Apple will accelerate the adoption of mini LED displays in its iPad and MacBook products.
The latest report predicts that since Sanan Optoelectronics has become a new supplier for Apple, the cost of Mini LED chips will drop significantly in 2021, and Apple’s Mini LED device shipments will increase.
The latest report indicates that Sanan Optoelectronics will begin mass shipments of Mini LED display chips for iPads and MacBooks starting in 2021. This shipment schedule is earlier than previously expected (originally expected to start in 2022 at the earliest). Although Epistar has already met Apple’s mass production requirements, we believe that Apple is still actively seeking new suppliers to reduce supply risks and costs.
The report predicts that Sanan Optoelectronics will account for 20%-30% and 45%-55% of the Apple mini LED market share in 2021 and 2022, respectively (previous forecasts were 0% and 10%-20%). Coupled with the growing demand for non-Apple mini LEDs in the Chinese market, we believe that Sanan Optoelectronics will significantly benefit from its mini LED business in the next 3-5 years.
Ming-Chi Kuo previously estimated that the total cost of mini LED display chips for iPads and MacBooks (about 10,000 chips) would be $75-85, but the addition of Sanan Optoelectronics will greatly reduce the cost to less than $45.
Thanks to significant reductions in costs and supply risks, shipments of iPads and MacBooks equipped with mini LED displays are expected to exceed expectations. We anticipate that the penetration rate of mini LED displays in iPads and MacBooks in 2021 will reach 30-40% and 20-30%, respectively (previous forecasts were 10-20% for both). We believe that mini LED displays will be a core innovation and competitive advantage of iPads and MacBooks.
As early as March this year, Ming-Chi Kuo predicted that Apple would launch six mini-LED products, including a 12.9-inch iPad Pro, a 27-inch iMac Pro, a 14.1-inch MacBook Pro, a 16-inch MacBook Pro, a 10.2-inch iPad, and a 7.9-inch iPad mini.