We check that BOE’s punch-hole verification delay on iPhone 15 series may lead to its panel supply revise down in 2H23.

Key Takeaways:

• BOE's punch-hole verification for the iPhone 15 series may be delayed, with mass production potentially starting after Jul’23. There is a possibility of a downward revision of 25-30% for the shipment compared to the previous estimate.
• In our preliminary 1Q23 assessment, we determined that BOE's anticipated supply for the iPhone 15 is estimated to be between 9-13M units, with a projected supply of 5-9M units for the iPhone 15 Plus.
• However, based on the latest panel preparation in 2Q23, it has come to our attention that BOE's supply share may experience a decline due to panel verification issues. As a result, we anticipate revising BOE's supply for the iPhone 15 model to be within the range of 6-10M panel units, while the supply for the iPhone 15 Plus is expected to be revised down to 3-7M panel units.
• SDC (Samsung Display Company) may gain more market share in 2H23 due to BOE's verification delay, but Apple may take action to expedite BOE's progress to achieve competitive pricing with SDC's panels and reduce overall panel costs.

Full insights are delivered in June 9th weekly report.