Benzinga - by Ananya Gairola, Benzinga Staff Writer.
The much-anticipated Apple Inc. (NASDAQ:AAPL) Watch Ultra with a microLED display, which was rumored to be in the works, might not see the light of day after all.
What Happened: The Austrian firm ams–Osram (OTC:AMSSY) had been linked to the production of microLED displays for the speculated Apple Watch Ultra.
However, the unnamed customer, believed to be Apple, has reportedly canceled the orders, leading to a 40% drop in ams Osram’s shares, reported AppleInsider.
Despite the lack of official confirmation from Apple or ams-Osram, the sudden and complete cancellation of the micro LED order has had a significant impact on ams Osram.
The company is now facing the possibility of recording non-cash impairment charges on microLED-related assets and goodwill of $650 million to $970 million in the first quarter of fiscal year 2024.
Notably, tech journalist Mark Gurman has expressed skepticism about the Apple Watch Ultra cancellation reports. Gurman, who is known for his accurate Apple predictions, believes that the micro LED project involved multiple suppliers, not just ams-Osram.
AMS-Osram was one supplier in the Apple Watch Ultra microLED project. There are several others. I doubt it was canceled. https://t.co/wu0mfli3GO— Mark Gurman (@markgurman) February 29, 2024
Why It Matters: The rumored Apple Watch Ultra with a micro LED display has been the subject of much speculation.
Earlier this year, it was reported that the third-generation Apple Watch Ultra, equipped with a microLED display, had been delayed again, marking the third consecutive year of postponement.
The delay was attributed to challenges in the production of microLED screens and Apple’s uncertainty around the 2027 release date.
If the rumored Apple Watch Ultra with micro LED is canceled, it would significantly setback Apple’s wearable technology ambitions. However, Gurman’s comments suggest that the situation may not be as clear-cut as it seems, leaving room for speculation about the future of the Apple Watch Ultra.
Photo via Shutterstock
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