Checking In With An iPhone 7 Supplier

In a report published Wednesday, JP Morgan analyst Narci Chang commented on Japan Display –- a possible supplier to Apple Inc. (NASDAQ: AAPL)'s iPhone 7 device.

According to Chang, Japan Display's new fab, backed by Apple's prepayment, will increase its total capacity by 20 percent. The new fab is enough to produce approximately 95 million units of five-inch smartphones annually and the new Apple fab is expected to ramp up in fiscal 2016.

The analyst continued that this should serve as evidence that Apple will increase allocation to Japan Display and adopt LCD LTPS for an iPhone 7 device, contrary to market speculation about adopting OLED panels.