DigiTimes is reporting that Apple is re-negotiating with Samsung Display for a reduction of the price of OLED panels. DigiTimes thinks that Apple wants to lower the price of OLED screens because they were responsible for the high price of the iPhone X which made it sell poorly. However, this is a little naive as the unit costs of production, even with the higher priced OLED screen was only $370.25 and yet Apple chose to flog it for over $1,000. In contrast, Samsung's Galaxy S8 with 64GB of storage costs $302 in materials and retails at around $720.
Apple requires the Korea display vendor to lower the unit price of its OLED panels to $100, down from $110 in 2017. Samsung Display might agree on the basis that Apple will buy 100 million of the things, so the lost of 10 percent is probably livable. A ten dollar reduction is probably not going to change the price of the coming iPhone either – it will just prop up Apple's margins.
Prices of smartphone-used OLED panels are likely to go down soon as OLED panel makers in China are likely to cut their prices to keep their production lines running.