Report: Samsung Now Charging Apple 20% More for iPhone Processors
November 12, 2012 12:36 PM
comment(s) - last by
Samsung hikes up prices on Apple
The legal battles between Samsung and Apple have reached near legendary proportions. Apple won a major decision against Samsung in U.S. courts where the jury awarded Apple $1 billion in damages. Samsung is appealing that ruling and is even trying to get the case thrown out of court by alleging
Apple lost a patent infringement suit against Samsung in Europe and was
forced to run apology ads in major publications
stating that Samsung did not copy the iPad.
Reports are now coming in that Samsung Electronics has recently raised the price it charges for mobile processors to Apple. Samsung supplies the processors for the popular Apple iPad and iPhone.
According to a source claiming to be familiar with negotiations between the companies, Samsung increased the price of processors it provides the Apple by 20%.
"Samsung Electronics recently asked Apple for a significant price raise in (the mobile processor known as) application processor," the person was quoted as saying in the report. "Apple first disapproved it, but finding no replacement supplier, it accepted the (increase.)"
Apple was, understandably, was unhappy with the price hike and initially refused to pay it. However, it came back and agreed to pay the additional costs when no alternative provider could be found.
The source also says that Apple buys all of its application processors from Samsung and purchased an estimated 130 million units last year. The source also estimates that Apple will purchase over 200 million application processors from Samsung this year.
One last tidbit the source noted was that Samsung has a long-term contract to provide the application processors to Apple that runs through 2014. Neither Apple nor Samsung have officially commented.
This article is over a month old, voting and posting comments is disabled
RE: Oh! Irony
11/12/2012 2:57:46 PM
Evidentally I was down rated for asking a question that involved too much thought that deviated from 'can it play crysis' jokes. Somehow, I'm ok with that...
Anyways, I don't really get all worked up in the 'Apple must be punished beyond repair' or the 'Android is the best OS despite any of its actual flaws' stuff that happens on these forums for better or worse.
As far as consumers go, Apple was never a brand you went to for cost-value, or even for value parity (that is, actually getting what you pay for).
No, Apple is the brand people seemingly gravitate to when cost seemingly is not a variable in value. So, as far as the effects on consumers go... there are plenty of better alternatives from both a functional and cost perspective so I guess I don't feel one way or the other on that. It's not any different before as it will be after. It's still the brand you pay more for to get less of regardless of whether the cost gets passed down to consumers or not.
I only get annoyed about consumer circumstances when there are no viable alternatives.
"Mac OS X is like living in a farmhouse in the country with no locks, and Windows is living in a house with bars on the windows in the bad part of town." -- Charlie Miller
Apple Looks to Ruin Google's Jelly Bean Party With More Lawsuits
November 7, 2012, 5:38 PM
Quick Note: Apple's Rewritten Apology to Samsung Appears in UK Newspapers
November 2, 2012, 9:38 AM
Samsung Adds 2 TB 850 EVO, PRO SSDs for $800, $1000
July 7, 2015, 4:23 PM
Seagate Senior Researcher: Heat Can Kill Data on Stored SSDs
May 13, 2015, 2:49 PM
How to Recover Most Apps After Your NVIDIA Driver Crashes in Windows 10
March 30, 2015, 12:54 PM
Tinkerer Gets Old School Mac Plus Running on the Modern Web
March 24, 2015, 6:41 PM
Facebook-Backed Oculus Rift's Release Date Slips to 2016; Valve and HTC Salivate
March 16, 2015, 5:58 PM
Hackers Steal Roughly $1 Billion From Banks Using Malware RAT
February 17, 2015, 9:30 AM
Most Popular Articles
Exclusive: Google's "New" Search Icon Was Created in 2008 by Russian Designer
September 2, 2015, 6:45 PM
Kentucky Man Faces up to 10 Years in Prison for Shooting Drone Trespasser
August 13, 2015, 2:58 PM
Windows 10 Hits 75 Million Users; Grows Nearly 4x as Fast as Windows 7
August 28, 2015, 10:22 PM
Microsoft's Flagship Windows10 Lumias Rumored to Pack 25 Minute Charge Times
August 31, 2015, 8:13 PM
"KeyRaider" Hits 225,000+ iPhones, Mobile Malware no Longer Just a Droid Thing
September 1, 2015, 11:50 PM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2015 DailyTech LLC. -
Terms, Conditions & Privacy Information