Apple and Samsung are the definition of a "complicated" relationship. The two might be fierce mobile device rivals, but Apple depends on Samsung for most iPhone components. But is the relationship about to... shatter?
According to the Korea Times Samsung plans to break the years-long business relationship, as insider sources claim Apple is "no longer a cash-generator."
“[Samsung is] unable to supply flat-screens to Apple with huge price discounts. Samsung has already cut our portion of shipments to Apple and next year we will stop shipping displays,” one unnamed "senior industry official" claims. Instead, Samsung panels will go to Amazon... and Samsung itself.
Reports of reduced Apple display shipments from Samsung have been around for a while. Back in August 2012 DigiTimes said Apple is reducing Samsung iPad panel shipments in favour of Sharp and LG Display. The DigiTimes report was further confirmed by DisplaySearch.
Of course, the Apple-Samsung relationship extends beyond display panels. Samsung also makes iPhone processors-- and another Korea Times report claims Apple did not collaborate with Samsung in the development of the iPhone 5 A6 processors.
Meanwhile the iPhone 5 teardown from online dismantlers iFixit reveals how the DRAM inside the iPhone 5 comes not from Samsung, but from Elpida...
All the above clues point towards a move from Apple towards non-Samsung reliance when it comes to silicon... making Apple's recent poaching of veteran chip designer Jim Mergard from the Samsung ranks look less like simple headhunting and more like throwing salt at not-too-old wounds.
Billion-dollar legal rumbles also put a strain on any relationship, no matter how hard Samsung tries to keep its various businesses separate.
Samsung refutes one of the Korea Times reports-- a company statement to CNET flatly says "Samsung Display has never tried to cut the supply for LCD panels to Apple." No word on the other reports relating to processor and RAM supply, though.
Apple, of course, remains silent. As it always does.
Go Samsung Display to Terminate Apple Deal (The Korea Times)
