Samsung Takes 3% Stake in Sharp, Key Supplier of iPhone and iPad Screens

Samsung has paid $112 million for a 3% stake in LCD screen manufacturer Sharp, a key supplier of LCD screens to both Samsung and Apple, reports The Wall Street Journal.

sharp
Sharp currently holds the technical lead in the manufacture of large-screen LCD panels, enabling it to produce TV screens bigger than 60 inches at a lower cost than other manufacturers. Despite this advantage, the company has been struggling financially over the last 18 months, laying off 11,000 staff and mortgaging key assets.

Sharp has been desperately seeking external financing to keep itself afloat, having received bank bailouts and receiving a $120 million investment from Qualcomm late last year. Foxconn was also set to make an investment in Sharp, but that deal has fallen apart as Sharp's financial picture has continued to deteriorate.

Sharp supplies LCD panels to both Apple and Samsung, including both iPhone and iPad screens, and a WSJ blog suggests that Samsung may gain priority in future supply deals.

Monex market analyst Toshiyuki Kanayama said a Samsung-Sharp tie-up could "help Sharp to at least raise the efficiency of its panel-producing plant, as it will ship products to Samsung, whereas it had prioritized supplying components for Apple."

Samsung’s bid to turn Sharp, once a major competitor, into an ally, shows how serious it is in winning a global battle with Apple for dominance in the lucrative market for mobile devices.

Samsung has been focusing its own screen manufacturing efforts on OLED technology, with analysts observing that closer ties with Sharp would help the company outsource more of its LCD production.

Popular Stories

New Things Your iPhone Can Do in iOS 18

10 New Things Your iPhone Can Do in iOS 18.2

Thursday October 31, 2024 9:42 am PDT by
Apple is set to release iOS 18.2 in December, bringing the second round of Apple Intelligence features to iPhone 15 Pro and iPhone 16 models. This update brings several major advancements to Apple's AI integration, including completely new image generation tools and a range of Visual Intelligence-based enhancements. There are a handful of new non-AI related feature controls incoming as well. ...
M4 Pro on Blue

M4 Pro Chip Benchmark Results Reveal an Extremely Impressive Performance Feat

Thursday October 31, 2024 7:06 pm PDT by
The first Geekbench 6 benchmark results for the M4 Pro chip surfaced today. Impressively, the results that are available so far show that the highest-end M4 Pro chip is faster than the highest-end M2 Ultra chip in terms of peak multi-core CPU performance. Here is a comparison of the results: Mac mini with M4 Pro (14-core CPU): 22,094 multi-core score (average of 11 results) Mac Studio...
Apple iPhone SE 4 5G Modem 1

iPhone SE 4 First to Get Apple-Designed 5G Modem, iPhone 17 Pro to Add Custom Wi-Fi 7 Chip

Friday November 1, 2024 4:04 am PDT by
The iPhone SE 4 that's set to come out early next year is expected to debut Apple's first in-house 5G modem, according to Jeff Pu, an analyst who covers companies within Apple's supply chain. In a research note this week with Hong Kong-based investment firm Haitong International Securities, Pu said Apple is expected to roll out its custom-made 5G modem starting with the next-generation...
best early black friday deals

The Best Early Black Friday Apple Deals

Friday November 1, 2024 8:21 am PDT by
We're officially in the month of Black Friday, which will take place on Friday, November 29 in 2024. As always, this will be the best time of the year to shop for great deals, including popular Apple products like AirPods, iPad, Apple Watch, and more. Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment,...
M3 Pro Max vs M4 Pro Max Feature

Here's How Much Faster M4 Pro/Max Are for Graphics vs. M3 Pro/Max

Friday November 1, 2024 8:04 am PDT by
Apple's new M4 Pro and M4 Max chips are impressively fast in terms of CPU performance, topping the M2 Ultra, but what about graphics performance? The first Geekbench 6 results for GPU performance are now available for the M4 Pro and M4 Max, and the Metal scores reveal some impressive year-over-year gains. Based on the Metal scores that are available so far, the M4 Pro and M4 Max are up to...
imac video apple feature

What to Expect From Apple This November

Friday November 1, 2024 9:40 am PDT by
After a busy October in which Apple announced new Macs and Apple Intelligence launched, the calendar has now turned to November. Below, we outline what to expect from Apple this month as the slower-but-still-busy holiday season approaches. After seeding the first betas of iOS 18.2, iPadOS 18.2, and macOS Sequoia 15.2 with additional Apple Intelligence features last month, Apple will likely...
pixelmator

Apple Acquires Photo Editing App Maker Pixelmator

Friday November 1, 2024 8:41 am PDT by
Apple has reached an agreement to acquire Pixelmator, the company behind popular photo and image editing apps Pixelmator Pro, Pixelmator for iOS, and Photomator. The acquisition is subject to regulatory approval, according to an announcement made by the Pixelmator team on Friday. Based in Vilnius, Lithuania, Pixelmator has developed a suite of well-regarded creative tools that compete with...

Top Rated Comments

notthedark Avatar
152 months ago
Picturing bald Samsung CEO sitting in a giant leather chair stroking a white cat.
Score: 31 Votes (Like | Disagree)
639051 Avatar
152 months ago
Apple's got 100 Billion dollars in reserves right? Well it's war! Buy out Samsung :D

LOL

I don't think you know how this works. I don't know how it works, but I still think you know less. :(
Score: 17 Votes (Like | Disagree)
notjustjay Avatar
152 months ago
First Samsung copies Apple's products and now they copy the strategy of securing parts. What next?

Yeah, cause Apple invented business strategy. I hope they patented it too!
Score: 17 Votes (Like | Disagree)
furi0usbee Avatar
152 months ago
I don't understand why Apple doesn't take, say, a 30% stake in Sharp... done.
Score: 13 Votes (Like | Disagree)
0815 Avatar
152 months ago
Don't see why Samsung would help a competitor.... even if it's due to financial issues.
They probably need some competition to be alive and somewhat healthy so that they don't get in trouble for having a monopoly and getting in potential trouble for being accused of abusing it.

Same way as it was back in the days a smart move of Microsoft to inject some money into failing Apple - they needed that competition to be alive and breathing to protect themselves from possible law suits.
Score: 11 Votes (Like | Disagree)
turtlez Avatar
152 months ago
Sounds like Samsung is trying to buy competition (Apple supplier). Playing their cards deviously but rewarding.
Score: 8 Votes (Like | Disagree)