Rumors about Apples venture into microLED displays for its flagship Watch Ultra smartwatch have been circulating for a while. Recent reports claimed that the tech giant from Californias Cupertino had postponed the release of the Apple Watch Ultra with microLED display beyond 2026 due to supply chain challenges. However, the latest update suggests that Apple has now decided to abandon the project entirely, alongside laying off several members of the development team.Apple Micro LED update:1. My latest survey indicates that Apple has canceled the Micro LED Apple Watch projects because Apple thinks that Micro LED cant add significant value to this product, and the production costs are too high to make it economically viable.2. Apple has…— 郭明錤 (Ming-Chi Kuo) (@mingchikuo) March 1, 2024Ming-Chi Kuo confirmsRenowned analyst Ming-Chi Kuo, associated with TF Securities, disclosed this development in a recent post on X, stating that Apple had scrapped the microLED Apple Watch Ultra project. Kuo noted that Apple encountered difficulties in ensuring the economic viability of the product, ultimately leading to its cancellation. The analyst highlighted concerns regarding the added value of microLED technology to the smartwatch and the escalating production costs as key reasons for the decision.Furthermore, Kuo stated that Apple has laid off many people from the microLED development team, although the exact number remains undisclosed. The company has not officially confirmed these layoffs or the projects cancellation. Kuo emphasized the lack of visibility on any future microLED-related endeavors from Apple.Apple abandons its decade-long car projectThe reported cancellation of the microLED Apple Watch Ultra project signifies a significant setback for Apple, particularly following the recent abandonment of its decade-long electric car project. Kuo expressed that this move poses challenges to Apples aspirations of owning the next generation of display technology to enhance its product competitiveness.Apple停止Apple Car開發的討論熱絡，看似一件大事，但全世界沒有一檔股票因為這件事而大漲或大跌 (如果有請提醒我，謝謝)。資金是很老實的，這代表資本市場早就不在意Apple是否要開發Apple Car這件事。--There is a lot of discussion about Apple canceling the development of the Apple Car. It…— 郭明錤 (Ming-Chi Kuo) (@mingchikuo) March 1, 2024Kuo also mentioned that Austrian manufacturer asm-OSRAM served as Apples exclusive LED chip supplier for microLEDs. However, with the project now scrapped, Apple has no immediate plans to produce microLED-equipped devices, as per Kuo.Further supporting the cancellation reports, an official statement from Osram indicated a reassessment of its microLED strategy following the unexpected termination of a cornerstone project integral to its microLED strategy.What have previous reports claimedPrevious reports had hinted at delays in the release of the Apple Watch with a microLED display, extending beyond 2026, with uncertainties about a 2027 launch due to unresolved challenges in finalizing the component supply chain necessary for microLED displays.As of now, Apple has not officially commented on the cancellation or the reported layoffs related to the microLED Apple Watch Ultra project.
