Sunday, May 12, 2013

Apple is Samsung's Largest Customer! Samsung is the sole manufacturer of the so- called A-series of chips, which are at the heart of the iPhone and iPad


Apple accounts for 8.9 percent of Samsung’s revenue, making it the company’s largest customer, according to a Bloomberg supply-chain analysis, even as the two companies have been locked in global patent disputes for more than a year.
Apple’s reliance on Samsung chips for its best-selling phones and tablets will be worth as much as $7.5 billion to Samsung in 2012, a 60 percent jump from 2011, Gartner Inc. estimates. Chief Executive Officer Tim Cook said at a conference earlier this year that “the engine” for the iPhone and iPad is made in Austin, without mentioning Samsung. Samsung's Austin factory has been tailored for iPhone and iPad chips. Samsung has invested $7 billion for the factory where it manufactures chips and processors for Apple.
Samsung and Apple’s interdependence traces its roots to the beginning of the iPhone. The two companies, which had already worked together in screens and memory chips, cut a deal that resulted in Samsung becoming the sole manufacturer of the so- called A-series of chips, which are at the heart of the iPhone and iPad.
More details can be obtained from various sources like:
  1. http://en.wikipedia.org/wiki/Apple_A5
  2. http://en.wikipedia.org/wiki/Apple_A5X
  3. http://www.bloomberg.com/news/2012-08-21/samsung-to-spend-4-billion-to-boost-texas-chip-output.html
  4. http://www.cio.com/article/715987/Samsung_Breaks_Ground_on_7_Billion_Memory_Chip_Factory_in_China
  5. http://appleinsider.com/articles/12/08/21/samsung_to_invest_4_billion_in_texas_iphone_ipad_chip_plant

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