Rumor: Apple plans to invest in LG Innotek

Apple plans to invest in LG Innotek in order to secure a steady supply of 3D sensing modules for this year’s iPhones and iPads, according to The Investor. The sensing module, which enables a mobile device to capture 3-D data and recognize a user even in a dark environment, is a key component of iPhone X’s facial recognition solution.

LG Innotek logo.jpeg

Quoting unnamed sources, The Investor says Apple has decided to offer financial support for LG Innotek in the form of an upfront payment (though the exact amount is unknown). Some market watchers said the move would be in line with a temporary supply shortage of the 3-D sensing modules late last year, which had affected the sales of iPhone X.

Chances that the rumor is true, according to the Sellers Research Group (that’s me): 90%. It makes sense that Apple would take this step considering the problems it had at one point with iPhone X components.