With more than 70 million iPhones sold in the last quarter alone, Apple has quickly become one of the world’s largest display buyers. To meet the increasing demand for iPhones, Apple has reportedly struck a deal with Japan Display to build a $1.4 billion factory dedicated solely to smartphone displays.
Japan Display is seeking to become the primary display supplier to Apple, according to Reuters sources. The new plant will reportedly boost LCD capacity by 20 percent with plans to start churning out screens in 2016.
Previous rumors have suggested Apple was willing to pay as much as $1.7 billion for the new plant. Foxconn has also invested heavily in Apple displays by recently spending $2.6 billion on an OLED factory for Apple Watch and iPhone displays. Apple has not been officially announced as Japan Display’s partner, but sources say Apple will invest an unspecified amount in the plant to help the Japanese screen maker become it’s number one supplier.
Full investment details of the plant have remained confidential, a standard policy with Apple suppliers. Japan Display will open the new plant near the central Japan city of Ishikawa.
