More advanced phone screens aren't just good news for tech-savvy phone users - the upgrade could also be a boon for China's screen manufacturers, according to a report by Oriental Patron.
Smartphone manufacturers are looking to upgrade screens to the higher resolution and more responsive technologies. For example, the active-matrix organic light-emitting diode (AMOLED) technology used in Samsung, or the Low Temperature Poly Silicon (LTPS) screens used in iPhone 6S.
In view of this, China's display manufacturers are well placed to ride the wave of change, Oriental Patron's equity analyst Chloe Liu told South China Morning Post (SCMP).
Apple is among the companies taking part in the trend. Its iPhone 8, due to be released in 2017, is expected to be the company's first phone to use an AMOLED display screen.
South Korea and Japan currently supply the bulk of panes for China smartphones. But as these manufacturers race to upgrade their LTPS production lines to AMOLED to catch up with Apple's demand, there is likely to be a shortage of both types of screens this year and next, said Liu.
This shortage provides an opportunity for China display panel suppliers to move in on their competition.
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