Apple Ditches Samsung as iPhone 5 Memory, Display Supplier

The common phrase to think of is that "it's nothing personal, but simply business." But when we hear that Samsung will not be providing memory chips and displays in the initial production volumes of the iPhone 5, we cannot ignore the fact that Apple and Samsung were involved in a bitter and rather damaging legal dispute. This one may be more personal than it is portrayed.

According to Bloomberg, industry sources "familiar with the matter" said that Samsung will still be manufacturing the processor, but the company will be dropped from the bill of materials otherwise as Apple is leveraging its influence to source components from other suppliers. Pricing seems to be the general reason, while other point to the legal battle between the two and we know that lawsuits have never been a good way to increase the loyalty in business relationships.

Bloomberg said that Apple is getting its displays from LG, Sharp and Japan Display. AU Optronics may join the supplier base for a smaller iPad.

 

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61 comments
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  • aznshinobi
    Samsung should just stop supplying Apple in general, would like to see where they go when they can't take credit for other peoples work.
    23
  • Meatymutawings
    aznshinobiSamsung should just stop supplying Apple in general, would like to see where they go when they can't take credit for other peoples work.

    Samsung would never want to have that happen, if samsung stops supplying apple, apple will always have (maybe inferior) alternatives, but samsung will lose major revenue and profit.
    23
  • mavroxur
    Hell, it could be about price. If I were Samsung, i'd jack up my pricing to Apple to "recover a $1 Billion loss". Screw Apple and the horse they rode in on. Good riddance to them.
    22
  • Other Comments
  • kcorp2003
    I heard samsung wants 1 billion dollars from LG for stealing their OLED tech. revenge?
    Anyways maybe apple wants their iPhone 5 to have LG in-cell touch displays that could be why their partnering up.
    9
  • aznshinobi
    Samsung should just stop supplying Apple in general, would like to see where they go when they can't take credit for other peoples work.
    23
  • Meatymutawings
    aznshinobiSamsung should just stop supplying Apple in general, would like to see where they go when they can't take credit for other peoples work.

    Samsung would never want to have that happen, if samsung stops supplying apple, apple will always have (maybe inferior) alternatives, but samsung will lose major revenue and profit.
    23