My my my. It looks like LG has dropped the ball in quality tests for Apple’s iPad 2. Apple will turn to Samsung and Chimei Innolux to supply display panels for its iPad 2 after LG’s panels failed to meet Apple’s quality requirements. The quality issues with LG’s displays forced the company to miss its July monthly shipment goal by 1 million units according to DigiTimes. Reportedly, LG’s LCD backlight units failed during Apple’s drop tests.
LG planned to ship 4 million LCD units per month during the third quarter, but only shipped an estimated 2.5-2.6 million units in July. Samsung, by comparison, provided the Cupertino-based firm with two million displays. Chimei Innolux shipped 450,000 units during the month and the company has a new monthly shipment goal of 1 million – 1.5 million units. Despite quality issues, LG is expected to remain the top supplier of LCD displays. What’s unclear is how this affects the *rumor* that LG would be supplying the Retina display panels for the next generation of the iPad.
This whole situation illustrates the convoluted nature of alliances and dependencies in the tech industry. One department getting sued by another company for copying a device that another department manufactures for them, and running chips designed and/or manufactured by another company that they’re probably suing. Also, the head of that one department totally once slept with the manager of the other department’s mother, who is totally the evil half sister of of the CEO of the other company, and also the lovechild of the SEC chairman, and is a werewolf witch that is posessed by the ghost of the founder of Myspace (who is totally dead but being impersonated by his twin on Google+). You can’t make this stuff up, folks.