Digitimes reports that Apple will be moving away from OLED displays on the Apple Watch in favor of Micro-LED technology for its display. At the same time, the iPhone 8 (2017 iPhone) is said to be moving to OLED displays. The supply chain source notes that Apple is developing the Micro-LED technology and will debut it in late 2017.
The reasoning behind the move is unknown. Logically, it wouldn’t make much sense for Apple to develop a new technology for one product, then shift away form it on another. Though, as always, take a report from Digitimes with a grain of salt as their track record is spotty at best.
Similar to OLED, Micro-LED displays have better color accuracy and brightness levels than LCD displays. They are also more efficient than LCD displays because they do not require a backlight.