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Apple May Be Shifting Back to Samsung for Future Display Production

Tuesday May 28, 2013 5:23 pm PDT by Juli Clover
iphone_5_displayDespite an ongoing lawsuit with Samsung that has led to ever increasing animosity between the two companies, Apple is said to be considering new contracts with Samsung to provide displays for its product lineup. According to Korean site ETNews.com (via AppleInsider), Apple is planning to resume purchasing LCDs from Samsung Display as the company is better equipped to keep up with high demand.
As the thin glass process was adopted to the production of touch screen panels, the related industry is expected to show stiff growth every year - there are very few Japanese or Taiwanese competitors in the thin glass market.

The industry is guessing that one of the reasons Apple decided to come back to Samsung Display is because of the thin glass. Samsung Display’s thin glass vendors have made a very visible growth in the industry, because Samsung Display, unlike LG Display, relies on its vendors for most of the thin glass processes.
Late last year, it was reported that Apple and Samsung would cut display ties in 2013, with Apple instead relying on other suppliers like LG Display and AU Optronics. Apple also cut back on memory orders from Samsung and in April, news hit that Apple would exclude Samsung from the development of its A7 system-on-a-chip, shifting production to Taiwan Semiconductor Manufacturing Company instead.

If Apple is indeed willing to begin mending ties with Samsung, the shift back to Samsung Display comes just as the company begins preparations for both the fifth generation iPad and the iPhone 5S. Reports have suggested that Apple will begin production of the next iPhone in June, with iPad production following shortly after in July.

[ 119 comments ]

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arctic
84 months ago
Shifting Back to Samsung

Bloody so. The Samsung panels utilized for the retina Macbook Pros are far better than the LG ones.
Rating: 26 Votes
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samcraig
84 months ago
Grabs the popcorn because you just know people are going to go ape over this and this thread will be fun to watch...

ETA: Especially those that insisted Apple didn't need Samsung...
Rating: 23 Votes
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LaDirection
84 months ago
Well well well, look who comes crawling back.
Rating: 22 Votes
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PollyK
84 months ago
So what happened to all the huffing and puffing Apple was doing in regards to getting rid of Samsung. Let's not forget all the posters on this forum singing the praises of Apple for making the choice to minimize Samsung as a supplier. and all that ridiculous talk about how Apple doesn't need Samsung. This is a prime example how you never let your emotions mix in with business. Bottom line, there is no supplier that can offer the quality and quantity of parts like Samsung. And this is why they are the prime player that has risen in the market to challenge Apple.
So how many times has Apple come back to Samsung now? I recall this happened a few other times.
Rating: 16 Votes
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Krauser
84 months ago
As they should. As far as panels go, they're the best in the business. Case and point, the MacBook Retina displays. Apple should be worrying about what's best for the consumers to create the best product they can. If Samsung offers the best panels, the right thing to do is utilize them. If they want to hold true to their word of "making the best products they possibly can", they need to do it, even if it means working with a competitor.
Rating: 14 Votes
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samcraig
84 months ago

Why can't Apple just make the displays themselves? And assemble the phone themselves? Get rid of middle men which would get rid of the product leakers! Because they could have Cupertino-level secrecy in an Apple factory too!

Use their billions to make their own Apple factories!


If it were that "simple" - they would have. Clearly it's not.
Rating: 13 Votes
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iChrist
84 months ago

How sad...


You didn't finish your sentence, here's the rest...

"How sad... for all those people who bought Apple products with horrible LG displays. Apple should never have hurt their own customers by fighting with Samsung"


:apple:
Rating: 12 Votes
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Renzatic
84 months ago

Why can't Apple just make the displays themselves? And assemble the phone themselves? Get rid of middle men which would get rid of the product leakers! Because they could have Cupertino-level secrecy in an Apple factory too!

Use their billions to make their own Apple factories!


Because that would make Apple absolutely massive with tons upon tons of overhead. They'd have huge factories that cost millions in upkeep for the sole purpose of manufacturing a relatively small amount of electronics.

Basically it'd be the polar opposite of Steve Job's stated vision of keeping the company small and focused. Producing everything top to bottom would gain Apple nothing, and cost them plenty.
Rating: 11 Votes
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iSayuSay
84 months ago
In the end, Apple could not live without Samsung, no?

Samsung makes quality products, for the most parts. Best display (I love Samsung plasma nowadays, far beyond what Panasonic can do), there are also ICs, RAM and all essential tidbits. They have the quality, and capacity.

Least glitchy and delay too.
Rating: 8 Votes
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samcraig
84 months ago

Roughly translated: Apple cut Samsung out of its display road map which gave them a far better position to bargain for future contracts with Samsung. I like Cooks style he operates the supply chain like a well played game of chess.


If by roughly translated you mean that you're going to twist the scenario around as much as you can to make it look like Apple is almighty... However it's more likely that Apple wanted to go their own way and found themselves unable to do so
Rating: 6 Votes

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