Except no one can product the quality and capacity of Samsung. If Apple could move away at the current price Samsung is charging, they would.
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Samsung Reportedly Hits Apple with 20% Price Increase for iOS Device Chips
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Except no one can product the quality and capacity of Samsung. If Apple could move away at the current price Samsung is charging, they would.
You are kidding right?
Apple is Samsung's customer, not the other way around.. they're about to lose their most profitable customer in Apple.
I hope Apple completely withdraw all their custom from Samsung. We'll see how Samsung's profits nosedive then.
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It's getting volumes that Apple require that seems to be the tricky point of disengaging from Samsung, but that wont be a problem much longer.
Probably so but then you would think Apple would get a discount on the old processors designs unless they are making them smaller for future production of older devices.
... kinda, Samsung & Apple has a contract until 2014 (Marketwatch/WSJ). So Samsung has until then to re-tool & fill any capacity vacated (if any, since they will still be producing APs for Apple)...and of course, Apple has that time to switch/diversify suppliers.
The most likely result (since it already has been reported), is that Samsung will delay the expansion of their capacity (the so called Line-17) and fill the existing capacity first.
From Digitimes:
Samsung reportedly delays new logic fab construction
Josephine Lien, Taipei; Jessie Shen, DIGITIMES [Monday 5 November 2012]
Samsung Electronics is likely to put off the construction of a new logic fabrication facility dubbed Line-17, due to the possibility of losing a portion of orders for Apple's next-generation application chips, according to industry sources.
Samsung is looking to build its line-17 system semiconductor plant in Hwaseong, Gyeonggi Province, with total investment estimated at KRW4-6 trillion (US$3.7-5.5 billion). The new facility is scheduled to kick off volume production in the first quarter of 2014, and bring in an additional 80,000 12-inch wafers in capacity per month, the sources revealed.
However, Samsung will no longer be the sole supplier of Apple-designed chips that power the iPhone and iPad devices, the sources indicated. The anticipated drop in orders from Apple has prompted Samsung to consider slowing the pace of its logic-IC capacity expansion, the sources said.
TSMC with its 20nm process technology will likely secure its first chip orders from Apple, the sources believe. TSMC is scheduled to enter trial production on its 20nm process node in early 2013, the sources said.
Samsung in June 2012 announced plans to build a new fabrication line in Hwaseong, with the construction scheduled to complete by the end of 2013. The new fab would mainly produce highly advanced mobile application processors on 12-inch wafers at 20nm and 14nm process nodes, according to Samsung.
The new fabrication line will be Samsung's third system LSI fab, targeting IC solutions for smartphones and other mobile devices, the company said.
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Yaaaawwwwwwnnnnn....
I'm soooooo tired of these sorts of comments... if you don't like the product or thinks it's overpriced, don't buy it.
Personally, given the longevity I get out of my overpriced Apple products, they are well worth the money. You get what you pay for.
Rules in this forum: Whine for the sake of whining .. will never change
The small marketshare apple is trying to keep will pay 300+ more for the idevices no questions asked
they will think is s extra premium.
TSMC's 20nm is a joint venture between GlobalFoundries, TSMC and Samsung.
The main patent holder is GlobalFoundries whose new Malta Fab in NY is on-line with 20nm full stamp out as this story develops.
It's not hard to fathom that GlobalFoundries is used. GF is continuing to expand in upstate NY for the upcoming 14nm tech they're readying for general use early 2013.
http://sip-trunking.tmcnet.com/news/2012/10/31/6690505.htm
The main patent holder is GlobalFoundries whose new Malta Fab in NY is on-line with 20nm full stamp out as this story develops.
It's not hard to fathom that GlobalFoundries is used. GF is continuing to expand in upstate NY for the upcoming 14nm tech they're readying for general use early 2013.
http://sip-trunking.tmcnet.com/news/2012/10/31/6690505.htm
Your nose is broken then.
In my home, there are:
- 2x iPhone 5
- 1x iPhone 4s
- 1x iPhone (1st gen)
- 1x iPhone 3G (not used though)
- 2x iPod Touch 4th gen
- 1x iPod Touch 2nd gen
- 1x iPad 3rd gen
- 3x iPad 2nd gen
- 1x 15" rMBP
- 1x 11" Air
- 1x MacPro
- 1x Apple TV.
If I'm a hater I'm a pretty **** one.
not really. There is a shortage of the things Samsung makes. Apple moving to other suppliers means the customers of those said supplier that got pushed out have to go find someone new which means Samsung will replace them. It is a short term sting but does not hurt them much in the long run. Fanboys may think so but is more the statement that says do not bite the hand the feeds you applies to Apple in this case. They bit Samsung.
Get a grip man
Nothing wrong with what I said. It's true. 20% is quite a hefty increase bud.
Boy - you hate yourself a LOT!
Your nose is broken then.
In my home, there are:
- 2x iPhone 5
- 1x iPhone 4s
- 1x iPhone (1st gen)
- 1x iPhone 3G (not used though)
- 2x iPod Touch 4th gen
- 1x iPod Touch 2nd gen
- 1x iPad 3rd gen
- 3x iPad 2nd gen
- 1x 15" rMBP
- 1x 11" Air
- 1x MacPro
- 1x Apple TV.
If I'm a hater I'm a pretty **** one.
Just raise the price of the product to recoup the extra cost. It's not like a higher price will slow sales. People are crazy enough over the Apple logo that Apple can charge what they want and people will keep buying. They can't lose.
Samsung are a two bit ****** company anyway, they have ridden on the backs of bigger companies using them to manufacture stuff and copying them, hopefully this will be a message to anyone else using samsungs crappy products to move.
After being burnt by their ****** tv's and fridges I realised Korean companies can not be trusted... Sharp/Sony ftw
After being burnt by their ****** tv's and fridges I realised Korean companies can not be trusted... Sharp/Sony ftw
Ummm, no, simply because Apple is too tight on contracts, actually for sharp the contract with apple is making them lose money, a lot of money, their forecast is very bleak, even with all the iphone screen they have ordered.
Why ?
Because Apple is very greedy in terms of contracts, they want to milk every penny of everything they order to their suppliers, and quite often due to production flaws or errors the supplier simply loses money because of apple's orders. Foxconn is losing a lot of money actually on the iphone 5 because it takes too much time to assemble compared to what they get paid in the contract.
Samsung doesn't care about apple orders, they already have the whole galaxy line outselling the iphone line, they will sell their processors and keep their foundries busy no matter what, especially since they are starting to sell exynos processors to other manufacturers in china (ZTE / Huawei / Low cost manufacturers).
Well played Samsung, well played.
@ $3.50 per chip increase. Apple only needs to sell just under 300k units for Samsung to make-up the $1B and then some. That will happen by between Black Friday and Christmas. Question is, how much harder are they going to push on their other suppliers to manufacture chips. It it a retaliatory price hike? Most likely.
I can see the Harvard Business Review articles now. Should Apple have sued Samsung? What would have been different if Apple didn't and allowed it's competitors to copy their designs? Oy.
@ $3.50 per chip increase. Apple only needs to sell just under 300k units for Samsung to make-up the $1B and then some. That will happen by between Black Friday and Christmas. Question is, how much harder are they going to push on their other suppliers to manufacture chips. It it a retaliatory price hike? Most likely.
I can see the Harvard Business Review articles now. Should Apple have sued Samsung? What would have been different if Apple didn't and allowed it's competitors to copy their designs? Oy.
"samsung doesn't care about Apple"
Except that Apple is Samsung's biggest customer! In Fact if you have been paying attention they have recently cancelled plans to build a new fab plant
presumably due to decreasing chip sales!
The reason these companies are in business in the first place is they steal American ingenuity and than make inferior inexpensive versions of American
products and because the average American consumer could a give a crap
if their phone is a plastic cheap copy as longer as they save a few dollars.
What innovative product has come out of Korea lately?
IMO Japan and the US spend all the money on innovation, research and
product development and China and Korea take advantage of the work already
done for them without expecting to pay for the technology!
It seems everyone has a really poor memory! I remember the time before the iPhone came out and no phone had gestures or looked anything similar to the iPhone now every smart phone Samsung makes looks like a clone!
What about tablets? Was samsung making any touch screen based tablets before the iPad came out? Have you ever seen a galaxy in person? If that isn't a direct copy you must be blind and drinking the cool aid of samsung.
Shame on anyone taking the Samsung side that is exactly the underlying reason there has been a decline in this country. Everybody wants things for free or as cheaply as possible and does not recognize or reward hard work and ingenuity!! Think about the poor software engineer who gives his life at Apple
working 16 hour days developing "gestures" for the touch interface only to have his or her ideas stolen and used by other companies with no royalty paid or cost to the company!!!!
Be careful my friends since most manufacturing has already left the US all we have left is our intellectual property and if that is not protected we have nothing!!!
Except that Apple is Samsung's biggest customer! In Fact if you have been paying attention they have recently cancelled plans to build a new fab plant
presumably due to decreasing chip sales!
The reason these companies are in business in the first place is they steal American ingenuity and than make inferior inexpensive versions of American
products and because the average American consumer could a give a crap
if their phone is a plastic cheap copy as longer as they save a few dollars.
What innovative product has come out of Korea lately?
IMO Japan and the US spend all the money on innovation, research and
product development and China and Korea take advantage of the work already
done for them without expecting to pay for the technology!
It seems everyone has a really poor memory! I remember the time before the iPhone came out and no phone had gestures or looked anything similar to the iPhone now every smart phone Samsung makes looks like a clone!
What about tablets? Was samsung making any touch screen based tablets before the iPad came out? Have you ever seen a galaxy in person? If that isn't a direct copy you must be blind and drinking the cool aid of samsung.
Shame on anyone taking the Samsung side that is exactly the underlying reason there has been a decline in this country. Everybody wants things for free or as cheaply as possible and does not recognize or reward hard work and ingenuity!! Think about the poor software engineer who gives his life at Apple
working 16 hour days developing "gestures" for the touch interface only to have his or her ideas stolen and used by other companies with no royalty paid or cost to the company!!!!
Be careful my friends since most manufacturing has already left the US all we have left is our intellectual property and if that is not protected we have nothing!!!