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Apple and Samsung reportedly will cut display ties

It seems a divorce is on the cards
Tue Oct 23 2012, 12:14
Apple iPhone fighting Samsung Galaxy SIII

KOREAN HARDWARE GIANT Samsung reportedly is plotting to cut its display ties with its arch smartphone rival Apple, deciding it will no long supply displays for the Iphone and Ipad.

That's according to the Korean Times newspaper, which has heard from its sources at Samsung Display that it will stop supplying Apple with liquid crystal display (LCD) screens from next year.

"We are unable to supply our flat-screens to Apple with huge price discounts. Samsung has already cut our portion of shipments to Apple and next year we will stop shipping displays," said a mysterious Samsung insider.

According to the report, Apple has already started reducing its orders from Samsung. The Korean firm was the top supplier to Apple for the first six months of the year, providing it with over 15 million LCD displays, a figure that dropped in the third quarter as Apple shifted some orders to LG and Sharp.

"But Samsung shipped less than [three] million to Apple during the third quarter of this year and we expect the quarterly shipment in the fourth quarter to fall to some 1.5 million," the unnamed source added.

It doesn't sound like Samsung is very bothered about this though. "Although we are losing Apple business, Samsung looks safe as we found the right alternatives - Amazon and Samsung Electronics' handset division," stressed the source.

While this change has yet to be confirmed by either company, such news won't come as a surprise. The two firms have been at loggerheads in court all year, with Apple claiming Samsung copied the design of its Iphone and Ipad, and Samsung arguing that Apple used some of its technologies without its consent.

Neither Apple nor Samsung have responded to our request for comment. µ


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