Apple Cuts Samsung Memory Chip Ordering
Samsung is the major supplier of micro processors, flat screens, memory chips for Apple’s iPhone, iPod and iPad. Some sources say that Apple has cut its orders from Samsung for the upcoming iPhone. It is speculated that Apple took this measure to cut back its reliance on the korean based company and also to diversify its line of suppliers instead of just relying on its rival. It is evident that this measure was taken as a result of the sourness caused between the two rival companies regarding the patent lawsuits in the court. Apple picked Japan’s Toshiba Corp, Elpida Memory and Korea’s SK Hynix to supply DRAM and NAND chips.
Although there are speculations and rumors that Apple dropped Samsung from its list of memory chip providers for its new iPhone 5, sources have confirmed that Samsung is still on the list.
Although Apple has been cutting down the order for memory chips from Samsung, the Korean company is trying to make up for its losses with its handset business. Samsung’s galaxy line of products are a huge income booster for the company. They bring the two thirds of the overall profit to Samsung.
If Apple has been thinking to cause some damage to its rival by cutting down its orders, then it has to take down a notch, as Samsung has lots of ways to make it out.
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