New | Apple opens ‘secret’ lab in northern Taiwan to develop new displays

Apple opened a production laboratory in Taiwan where engineers are developing new display technologies, according to people with knowledge of the facility.

The building in Longtan, north of the island, has at least 50 engineers and other workers creating new screens for devices including iPhones and iPads, said the people, who asked not to be identified as the details were not public. Apple hired workers from local display maker AU Optronics as well as Qualcomm, which used to own the building, they said.

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Kristin Huguet, a spokeswoman for Apple in Cupertino, California, declined to comment.

Apple began operating the lab this year as it aims to make products thinner, lighter, brighter and more energy-efficient. Engineers are developing more-advanced versions of the liquid- crystal displays used in iPhones, iPads and Mac personal computers, the sources said.

By working directly on the development of display technologies, Apple can reduce reliance on the technology developed by suppliers such as Samsung, LG Display, Sharp and Japan Display. Instead, the company can develop the production processes in-house and outsource to smaller manufacturers such as Taiwan’s AU Optronics or Innolux.

Shares of AU Optronics surged 7 per cent, the most in four months, in Taipei and Innolux jumped 2.6 per cent. Japan Display dropped 3.9 per cent in Tokyo to the lowest in more than two months; Sharp fell 1.6 per cent.