Sources in touch with the matter have revealed that Apple has cut down on its memory chip orders from smartphone industry rivals and the world’s largest electronic devices producer Samsung. Reports say that Apple is looking to increase its sources for hardware supplies and is looking at options such as Toshiba, Elpida Memory and Korea’s SK Hynix. The news did not come as a surprise since the heated court battle over patent rights between the two industry heavyweights and the long standing rivalry. Apple no longer wants to remain solely dependent on Samsung for supplies, despite the fact that Samsung has been a primary supplier of DRAM and NAND storage for the iPhones and iPads.
Samsung Remains Prime Supplier For iPhone Processors
However, it has to be said that Apple is not looking to completely cut-off from Samsung with the Korean company still to remain the prime supplier for the processors to be used in the iPhone. Before Sharp took over the responsibility to deliver display screens from iPads, it was Samsung who supplied those parts. The decision to change the supplier was attributed to a change in the design which Samsung could not accommodate. There has not been an official statement from Apple in this regard with business experts stressing that the decision will not change the market demography.
Samsung Has Nothing To Worry About
Analysts believe that Samsung should not be concerned a great deal by Apple’s decision as other smartphone manufacturers will be releasing new handsets and most will be looking towards Samsung for hardware components. Besides acting as the chief hardware vendor, it still remains the leading market share holder with about 35% of the stakes according to Strategy Analytics. Whatever the present scenario, Apple and Samsung will have to find ways co-exist in the industry because they are heavily dependent on each other with regards to the customer – supplier relationship in spite of being competitors in the market.