If the iPhone 8 costs $1,000, blame Samsung, report says

There are probably some hidden upcharges in the iPhone 8's premium price.
 By 
Brett Williams
 on 
Original image replaced with Mashable logo
Original image has been replaced. Credit: Mashable

The iPhone 8 is expected to be announced at a special media event on Sept. 12 and cost somewhere between $999 and $1,200 — but Apple isn't entirely to blame for the exorbitant price.

You can direct at least some of your frustration to Apple rival and supplier Samsung, according to a new report from KGI Securities analyst Ming-Chi Kuo, who has a strong track record for predicting upcoming Apple releases.

The report, which was picked up by Apple Insider, claims Samsung's role in the supply chain may be driving up prices for at least some components of the unreleased iPhone. The higher cost to produce each device would thus be passed on to customers.

The screen is the main reason for the price increase. The new iPhone is expected to be the first from Apple to OLED screens, instead of the LCD displays found in previous generations.

According to KGI Securities' report, OLED displays produced by Samsung for the iPhone 8 will cost about $120 to $130 per unit, up from the $45 to $55 per unit cost of LCD panels in the past.

Unfortunately for Apple (and its legion of fans), there isn't much the company can do to avoid this. Samsung is a major producer of OLED screens (its phones have used them for years), and Apple reportedly retained Samsung as the exclusive provider of the displays for the upcoming release. Samsung is thought to be on the hook for 160 million panels over the course of the deal.

That exclusivity allows Samsung to charge twice as much per unit as Apple paid for LCD panels from previous suppliers, according to Kuo's report.

That premium is reportedly the main reason for the surging price of the iPhone. Other premium features like a facial-recognition sensor could contribute to the cost too — but Kuo claims that Samsung's pricey OLED panels are the main culprit, and that Apple "is in urgent need of finding a second source."

Those efforts may already be underway. Apple has reportedly started building a new facility for OLED R&D in Taiwan, and has enlisted LG Display as a supplier for 2018. Apple will also reportedly shift to an all-OLED iPhone lineup by 2018, so finding a new source to cut down on the price is a big deal.

This year, though, Samsung is calling the shots. That probably means you'll have to fork over as much money for your shiny new iPhone as you would for a decent computer — but for some, having the latest and greatest from Apple is priceless.

Mashable Image
Brett Williams

Brett Williams is a Tech Reporter at Mashable. He writes about tech news, trends and other tangentially related topics with a particular interest in wearables and exercise tech. Prior to Mashable, he wrote for Inked Magazine and Thrillist. Brett's work has also appeared on Fusion and AskMen, to name a few. You can follow Brett on Twitter @bdwilliams910.

Mashable Potato

Recommended For You
Apple to prioritize iPhone Fold over base iPhone 18 in 2026, report says
iPhone 17 Pro on wooden surface

Samsung's 'Wide Fold' phone could come out this summer to compete with iPhone Fold
Samsung Galaxy Z Fold 7 in a tent-like formation

Samsung Galaxy Z TriFold Phone quickly sells out online despite near $3,000 pricetag
White man holds samsung galaxy z trifold

Apple is testing a 'deep red' color for iPhone 18 Pro, report says
row of iphone 17 pro phones on display at apple park

The top 3 TV deals to shop this weekend: Save up to $1,000 on Samsung, TCL, and Hisense
Hisense, TCL, and Samsung TVs with blue abstract background

More in Tech
The Earth is glowing in new Artemis II pictures of home
One half of the Earth is seen floating in space through the open door of the Orion spacecraft.

Doomsday Clock now closest to midnight ever
A photograph of the Doomsday Clock, stating "It is 85 seconds to midnight."

Hurricane Erin: See spaghetti models and track the storm’s path online
A map showing the predicted path of Tropical Storm Erin.

Tropical Storm Erin: Spaghetti models track the storm’s path
A prediction cone for Tropical Storm Erin.

NASA to build a nuclear reactor on the moon by 2030, report states
The lunar surface.

Trending on Mashable
NYT Connections hints today: Clues, answers for April 3, 2026
Connections game on a smartphone

Wordle today: Answer, hints for April 3, 2026
Wordle game on a smartphone

Google launches Gemma 4, a new open-source model: How to try it
Google Gemma

NYT Strands hints, answers for April 3, 2026
A game being played on a smartphone.

NYT Connections hints today: Clues, answers for April 2, 2026
Connections game on a smartphone
The biggest stories of the day delivered to your inbox.
These newsletters may contain advertising, deals, or affiliate links. By clicking Subscribe, you confirm you are 16+ and agree to our Terms of Use and Privacy Policy.
Thanks for signing up. See you at your inbox!