Apple’s next-gen OLED iPad Pro tablets could be significantly more expensive than the current models.
According to industry sources cited by The Elec, Apple is already considering its pricing strategy for next year’s two OLED iPad Pro models, with current estimates starting at $1,500 and $1,800 for the 11-inch and 13-inch models, respectively.
This would result in a price increase of more than 80 percent for the 11-inch iPad Pro with an OLED display than the existing 11-inch iPad Pro with LED Liquid Retina display, which starts at $799. The 13-inch model would be more than 60 percent more expensive than the current 12.9-inch iPad Pro with mini-LED Liquid Retina XDR display, which starts at $1,099.
Per the report, the industry response to the price hikes is divided. Some consider them to represent a reasonable increase given the switch to a superior technology that will attract Apple’s loyal customer base. Others believe the prices will make it difficult to maintain sales because iPads lack the replacement demand of iPhones.
The main reason for the price increase is said to be the large proportion of material costs taken up by OLED panel procurement. Apple is said to be in discussion with both Samsung and LG Display about the price of supplying the panels, the specifications for which will require the use of production processes that have not been combined before for OLED panels of the required size.
It’s also been rumored that the supply price of OLED panels for existing 10-inch devices is around $100 to $150, whereas the outlay for the processes involved in making Apple’s required 11-inch and 13-inch panels may be closer to $270 and $350, respectively.
The report also notes that the OLED iPad Pro price estimates from the industry could change in the future. The OLED panels scheduled to be delivered by LG and Samsung are still in the development stage, so the panel prices have not been finalized.
Stay tuned for additional details as they become available.