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Apple Set to Become Samsung's Biggest Customer With $7.8 Billion in Contracts

Dow Jones Newswires briefly reports on an article from the Korea Economic Daily claiming that Apple is set to sign contracts that would see Samsung providing $7.8 billion in parts for Apple's mobile devices this year, making Apple the Korean company's largest customer.

The paper also said that Samsung will supply Apple with liquid crystal displays, mobile application processors and NAND flash memory chips used for the U.S. company's iPhones and iPads.

If the contract pushes through, Apple will become Samsung's largest customer, the paper added.

The Apple-Samsung relationship is an interesting one, given its size and the growing competition between the two companies with devices such as Samsung's Galaxy Tab and Android-powered smartphones going head-to-head against the iPhone and iPad.

Samsung has long provided an array of parts for Apple's iOS devices, including displays, flash memory, and even Apple's A4 chip. The company's Super PLS display technology has been rumored to be under consideration for use by Apple in upcoming iPad models, although Apple has also been rumored to be locking in multiple other vendors for displays for upcoming devices.

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17 months ago
Wow, the largest customer for the largest company in Korea. That IS big. :)
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17 months ago
Good use of cash.
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17 months ago
I always get excited when I read "liquid crystal display", and assume, for a few seconds, something new is on the way.

Then I remember what LCD stands for. :cool:
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17 months ago
This shows who is a real tech giant. This dependency does not look too good for Apple as sometimes Samsung reserves the best products for their own products.
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17 months ago
Apple's just an integrator.
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17 months ago
The relationship is not that interesting, or surprising for that matter, its just business. If Apple only bought components from those it didn't compete with in anyway whatsoever, Apple wouldn't have much of a product to bring to market. Most rivalries, like this post suggests, are exaggerated by the media.
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17 months ago

Apple's just an integrator.


Yeah "just".
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17 months ago

Wow, the largest customer for the largest company in Korea. That IS big. :)

It is the largest company in Korea BECAUSE Apple is growing the size of the pie not just portioning it, and sourcing a large amount of stuff from them. Take note well that even Samsung cannot satiate the desires and production of Apple. Apple needs at least 4 display vendors and 3 flash vendors to keep this train rolling.

Rocketman
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17 months ago

This shows who is a real tech giant. This dependency does not look too good for Apple as sometimes Samsung reserves the best products for their own products.


Just like Samsung depends on many companies too. That's just business.
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17 months ago
Interesting. Can anybody think of another situation where two competing device manufacturers are in a parts deal similar to this one?
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