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Samsung Increases Price For Apple's Processors

With the two technology giants locked in a variety of lawsuits around the globe, Samsung is said to have increased the price of its processors made for Apple by 20 percent.

If true, the latter has no choice but to adhere to the price increase as Samsung is purportedly the only company who can deliver the quantity of components Apple requires.

The Wall Street Journal cites a source who is "familiar with negotiations between the two tech giants". The source stated: "Samsung Electronics recently asked Apple for a significant price raise in (the mobile processor known as) application processor. Apple first disapproved it, but finding no replacement supplier, it accepted the [increase]."

With the price increase, Samsung is expected to pocket a healthy amount of profit. Estimates suggests that Apple ordered 130 million processors last year, with the figure set to exceed 200 million in 2012 due to the launch of the iPhone 5, iPad 4 and iPad Mini.

Apple will have to pay the inflated price until at least 2014, which is said to be when the contract between the two fierce rivals ends.

As for Samsung supplying displays to Apple, the firm denied it terminated its contract with Apple, despite initial reports suggesting otherwise.

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  • nah51dog
    haha apple! dont shit where you eat
    Reply
  • bllue
    Best news I heard all day
    Reply
  • Azn Cracker
    lol thats why you don't sue someone you depend on
    Reply
  • good job samsung, 20% is not enough! lets raise 100% because apple cant find other replacement
    Reply
  • robochump
    Lol...bitter much?!? But funny how most of you think Samsung is just an innocent company, thats just as funny!
    Reply
  • wardoc22
    Lol
    Reply
  • ipwn3r456
    So, will the all the apple products will raise their price too?
    Reply
  • chibiwings
    business as usual lol
    Reply
  • robochump
    ipwn3r456So, will the all the apple products will raise their price too?
    Apple will lose profits and eat the additional production costs. Asian companies have a major advantage with local talent able to help manufacture electronic components so cheaply. I hope Apple will work with a US chip company but highly doubt it.
    Reply
  • StormOfRazors
    Might help recoup some of the money they had to pay in the court case, but this constant bickering between Apple and Samsung involving lawsuits cannot be good for either company in terms of public opinion.
    Reply