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Old Oct 22, 2012, 09:24 AM   #76
sparkhill
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Quote:
Originally Posted by Krazy Bill View Post
Easy Tim... save the hate for your personal affairs. Doesn't belong in the biz world.
It's not about hate. It's a strategic business decision to prevent your largest rival from continually ripping off your intelectual property.
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Old Oct 22, 2012, 09:24 AM   #77
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It hurts both companies. Samsung is a high quality supplier for Apple and Apple is a high volume customer for Samsung.

W.E. Demming would be upset with both companies.
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Old Oct 22, 2012, 09:24 AM   #78
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Originally Posted by HobeSoundDarryl View Post
So, move that $7-8 billion to other Chinese firms and hope they don't follow in Samsung's footsteps through consumer iDevice knockoffs? Chinese firms flush with new cash NOT creating knockoffs? Think about it.

The revenge of "hurting" Samsung just creates several more Samsungs.
Several Chinese Samsungs in the future, is a possibility. But Samsung is a threat here-and-now. By spreading out the supply chain Apple at least moves the goal posts a couple years out. Perhaps by then Apple will be so entrenched in the education system or businesses with iPads that their IP won't allow them to be displaced with knockoffs.
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Old Oct 22, 2012, 09:25 AM   #79
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Originally Posted by the read View Post
Disagree. Apple need to learn how to work with companies.
Please expand on this. In what instance has Apple not worked with other companies when it was strategically smart to do so? Just on my memory I can't recall Apple disengaging from companies unless that company did something counter to Apple's own best interests. Ultimately, all companies chief responsibility is to protect itself. Likely moving away from Samsung is not as much retaliatory as a matter of Apple unsure it can trust them now that they are a direct competitor and also have stolen Apple ideas.
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Old Oct 22, 2012, 09:25 AM   #80
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Originally Posted by apersona View Post
Samsung will never forget what Apple did to it (him) and there will never be peace between these two companies again.
I don't understand why he's so upset. He basically didn't need an R&D department. They just copied what Apple did and re-branded it. If anything, Samsung should thank Apple for showing them what makes money
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Old Oct 22, 2012, 09:26 AM   #81
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Agreed

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Originally Posted by MacinDoc View Post
If Apple avoids using Samsung merely because of the IP cold war between the two companies, then it certainly hurts Apple. Having fewer component manufacturers to negotiate with reduces Apple's bargaining power, may increase component supply costs, and could limit Apple's access to the best available components. I, for one, hope that this is not true.
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Old Oct 22, 2012, 09:27 AM   #82
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Bugger. This sounds like bad news to me. I far prefer iOS to Android, but I _like_ Samsung kit, and especially their displays (the display I have is a Dell that's a rebadged Samsung and it's by far the best screen I've ever owned).

If Apple are going to start spreading around their orders to encourage other manufacturers to up their quality, then this could be very good news as it'll lead to more component competition and better stuff all round. But that would mean, for example, sponsoring LG up until they could produce displays without ghosting, then switching to them - rather than just cranking out the ghosting displays on rMBPs anyway. Ditto with the slow Toshiba SSDs. Part of the bonus of buying a Mac is that I want to know the system has been tested all together and the components are quality - not that I'm joining a component lottery.

I was thinking of getting an iMac in the current refresh, but if there's a risk of a ghosty display I'll probably pass, or get a Mac Mini I can plug into my Dellsung..
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Old Oct 22, 2012, 09:27 AM   #83
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Wouldn't bet on that. Samsung Manufactures chipset, microchips, etc. which is found in a LOT of electronic products for a lot of brands. Including Apple. It's just the LCD panel they will stop making. Apple doesn't manufacture anything.

Quote:
Originally Posted by Rudy69 View Post
In the end this is probably hurting Samsung more than Apple
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Old Oct 22, 2012, 09:27 AM   #84
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Quote:
Originally Posted by nick_elt View Post
please tell me your joking or a shareholder.
I own Apple (or, more accurately, a tiny piece of it).

Apple exists to take money out of your pocket and to put it into mine. So far, they have been doing that quite well. Apple can get away with just about anything, and people keep buying and buying and buying, because they know that owning Apple products means that they are cooler and better than other people.
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Old Oct 22, 2012, 09:27 AM   #85
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Originally Posted by sparkhill View Post
This clearly hurts Samsung more than Apple. Sure, Samsung makes great displays and chips. But, without fore knowledge of what Apple is designing, the next "innovative" Samsung product will hit the market much later.
Not really. Samsung will be the ones pushing tech and Apple will be waiting for other manufacturers to get the QC in order. Eg. rumored 2560x1600 panel in 10.6 Nexus tablet.

I also wonder who will be producing the 13" 2560x1600 panels for the new rMBP. Samsung made the ARM cpus too, and it's rumored the new Nexus tab will be powered by Exynos 5250, a dual core A15 chip. That will be one sweet ass tablet so I don't think Samsung will have any trouble coming up with innovative products.
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Old Oct 22, 2012, 09:27 AM   #86
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Originally Posted by Iconoclysm View Post
Samsung doesn't "create" much of anything, really.
Currently the market leaders in screens and enterprise SSD drives to name a couple.

Samsungs RnD teams are bigger and more diverse than Apples.
Apple put their logo on other peoples technology. Why do you give Apple all the credit. Their good at what they do, but they cannot do EVERYTHING.
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Old Oct 22, 2012, 09:29 AM   #87
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Originally Posted by iGrip View Post
I own Apple (or, more accurately, a tiny piece of it).

Apple exists to take money out of your pocket and to put it into mine. So far, they have been doing that quite well. Apple can get away with just about anything, and people keep buying and buying and buying, because they know that owning Apple products means that they are cooler and better than other people.
It only goes into your pocket if you sell. To be honest, the quicker you do sell the better.

Awful attitude.
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Old Oct 22, 2012, 09:29 AM   #88
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Originally Posted by HobeSoundDarryl View Post
So trust that those new Chinese partners won't want to follow Samsung's very profitable lead into consumer iDevice-like products? Trust Chinese companies won't use the new cash to fund knockoff iDevices? Don't those new partners already make Android-based phones?
Heck, Android fans already consider LG something of a Samsung-wannabe. Their newest skin (Optimus UX?) even has a water drop unlocking sound. But no question they're set to make much larger inroads in the States than before with the Optimus G and presumed Nexus 4.

Sharp I believe has phones in the Japanese market atm.
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Old Oct 22, 2012, 09:29 AM   #89
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Is that why Apple has become the biggest and most profitable company in the history of the world? Do tell!
Apple has built their "most profitable company" on the backs of others. If their suppliers terminated their contracts Apple would be done tomorrow. They can't do it themselves, they can't manufacture displays or even most of the other components.
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Old Oct 22, 2012, 09:30 AM   #90
ChrisTX
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Most people probably don't realize that this hurts Apple more than Samsung. Bad business move by Apple.
Agreed, Apple with the removal of the YouTube app(I know it's in the AppStore), Google Maps, and now the shift to lower quality displays seems to have forgotten about the consumers needs, and wants. This is all to spite the competition, and nothing more. Sad really.
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Old Oct 22, 2012, 09:31 AM   #91
silversin
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This is definitely going to affect shipments.

If Samsung has 8 good panels out 10, LG & Sharp have 5. And there is still someting called production capacity...
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Old Oct 22, 2012, 09:31 AM   #92
cmichaelb
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Originally Posted by NachoGrande View Post
it's called cutting your nose off to spite your face
My thought exactly...

Quote:
Originally Posted by MacinDoc View Post
If Apple avoids using Samsung merely because of the IP cold war between the two companies, then it certainly hurts Apple. Having fewer component manufacturers to negotiate with reduces Apple's bargaining power, may increase component supply costs, and could limit Apple's access to the best available components. I, for one, hope that this is not true.
Agreed. I can understand cutting them out of chip design and production for the SOC and memory. But Samsung rocks on displays. This area certainly is not a good move if true.
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Old Oct 22, 2012, 09:32 AM   #93
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You know the saying - "Once you're at the top, there's only one way down..." Just don't be surprised that in the next 5 years might be a rocky one for Apple if they don't start innovating instead of playing catch-up like they have lately.

Quote:
Originally Posted by iGrip View Post
Is that why Apple has become the biggest and most profitable company in the history of the world? Do tell!
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Old Oct 22, 2012, 09:35 AM   #94
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Originally Posted by Rudy69 View Post
In the end this is probably hurting Samsung more than Apple
Remember that when you have an Apple product with a second tier supplier screen that looks like crap. Enjoy.
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Old Oct 22, 2012, 09:36 AM   #95
samcraig
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Ultimately - both companies will be "OK"

Samsung, while the profit from selling to Apple will have "some" impact, will do just fine and might even be able to sell their components to others making even a better profit since they aren't tied to a contract with Apple.

Apple will be just fine using other manufacturers. Oh sure - they might experience shipping delays, need more Q&A - or perhaps not.. Ultimately - they will sell their products very well and make a little more profit. Even if their new(er) devices aren't up to the quality they have always been.
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Old Oct 22, 2012, 09:36 AM   #96
sziehr
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So I read this and it tells me that Tim cook used the fact Samsung was being a tool and copying them as motivation to do what he already was gonna do turn the screws on them. This guy says they can not match the discounts lg etc are giving so apple makes more money per product allowing them to increase market share with lower prices IPad mini which has a slightly lower margin but not to low as they got discounted panels which helps. This was a personal choice that looks like it will make money for apple. Is this going to hurt quality yep in the short run while these companies expand there operations. In the end they will make equal panels or apple will walk they know how good Samsung is they are going to pump billions into these other companies to make them as good or better.
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Old Oct 22, 2012, 09:36 AM   #97
genovelle
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Originally Posted by WhySoSerious View Post
Most people probably don't realize that this hurts Apple more than Samsung. Bad business move by Apple.
How can keeping your main competitor from being able to hold you supply hostage be a bad thing.
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Old Oct 22, 2012, 09:36 AM   #98
Sony311
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Actually it could be a better thing for Samsung. As being a provider for Apple, they are contractually giving HUGE discounts for Apple's Business. Cutting of a bleeding limb that cannot be saved is one way to save one's self (see Walking Dead for example ) <- just had to!

Quote:
Originally Posted by JarScott View Post
Won't this cause big problems for Samsung's profits? It was my understanding that Apple pays Samsung millions of $ to produce parts. I know Samsung will probably stay afloat with TV and smartphone sales but they're surely become a whole load less wealthy because of this?
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Old Oct 22, 2012, 09:37 AM   #99
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Agreed, Apple with the removal of the YouTube app(I know it's in the AppStore), Google Maps, and now the shift to lower quality displays seems to have forgotten about the consumers needs, and wants. This is all to spite the competition, and nothing more. Sad really.
I agree, on the presumption that Apple doesn't get its act together quickly on Maps or that LG/Sharp etc don't ramp up on supply quality (which I bet Apple is investing heavily in them to do).
But hopefully THIS will be be better for consumers. Think about it, do you really want Google, Microsoft, and Apple all really turning to only Samsung for component supplies? Don't you realize everyone putting their eggs in this one basket puts way too much power in this one suppliers hands?
I would think consumers better off if the US-based IP development is spread out between the big 3 and production and suppliers are multiple as well.
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Old Oct 22, 2012, 09:38 AM   #100
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Everyone seems to be certain that this is a bad decsion on Apple's part. However, my reading of the story seems to be that this a Samsung move.

Regardless, I don't think this is a long-term problem for Apple. The culture that Steve Jobs left (and I think it is still ingrained there) calls for pitiless insistence on meeting high standards. If LG or whoever can't meet those standards now, Apple will get them to that level via carrots and sticks in pretty quick order.

And anyway, the average iConsumer couldn't tell the difference today even if they knew that Apple bought screens from different companies.

And for those that seem to be so taken aback by the posts about Apple's need to maximize profits: you do understand that they are a corporation, right? They are there to make little trinkets that we want to buy so they can get our money. Not to improve the human condition.
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