Apple is rumored to be working on a high-end mixed reality handset that could launch in 2020 or the year after. Now that its Taiwanese partner Foxconn is on its way to becoming the largest shareholder of Epileds Technology, it is now believed that the device the Cupertino giant is devloping could debut with micro LED technology.

Digitimes reported Monday that Foxconn Group members have taken over 7.32 percent stake in Epileds from the original shareholder Catcher Technology. Foxconn is also said to be planning to acquire up to 20 million shares, so it could become the largest shareholder of Epileds.

Sources shared that the Foxconn Group members that have become Epileds shareholders are LED packaging service provider Advanced Optoelectronic Technology (AOT) and TFT-LCD panel maker Innolux. Both members have LED operations, so this could explain their interest in Epileds.

Epileds and another Taiwanese LED manufacturer named Epistar reportedly have an RGB technology that’s essential in the manufacture of micro LED technology. It’s possible that the Foxconn Group members were after this technology.

Micro LED or µLED is an emerging flat panel display technology that uses arrays of microscopic LEDs to form individual pixel elements. Unlike standard OLED, micro LED does not use organic compounds to produce light. It also has several advantages over OLED because it is brighter, offers perfect blacks and is capable of exuding excellent colors that do not have viewing angle issues, as explained by Digital Trends.

One standout property of micro LED is its immunity to burn-in. Because OLED utilizes organic compounds, it can suffer burn-in when subjected to extreme use situations. OLED could also have uneven color degradation in the long run. The only problem for now is the fact that micro LED is more expensive to make than traditional OLED. In the future though, its pricing could improve and the technology could become more affordable.

According to Patently Apple, by investing in Epileds, Foxconn could be working to position itself as a potential micro LED supplier and assembler of Apple’s mixed reality headset. A patent for Apple’s upcoming AR/VR device reveals that it could sport “micro display” and that could be referring to none other than micro LED.

Foxconn could be the supplier of the display panels for Apple’s mixed reality headset. Reuters/Tyrone Siu