LG to Provide OLEDs to Apple

LG Display, second-largest maker of liquid-crystal displays (LCD), has signed a contract with Apple Inc. to supply OLEDs (organic light emitting diode displays) for the iPhone, Apple notebooks and products.

The deal will remain effective for five years. OLEDs are next-generation screen technology that not use less power but also enable companies to build thinner devices with longer battery life.

LG will receive a prepayment of $500 million within the month.