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Apple, when the walls fell.

Discussion in 'Off-topic Zone' started by Sam I Am, Nov 13, 2012.

  1. Sam I Am

    Sam I Am Unfriendly and Aloof!

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    Apple buys most of their displays and their processors from Samsung. Stupid is as stupid does.

    Karam.

    First, Samsung strikes back against Apple with their displays and now their processors.

    This give new credence to, don't **** where you eat.

    Could a company be more stupid?

    ====================================

    Samsung hits Apple with 20% price hike

    Samsung Electronics , the world's largest technology firm by revenue, raised the price of mobile processor supplied to Apple Inc. AAPL -0.58% by 20% recently, Chosun Ilbo reported Monday, citing a person familiar with negotiations between the two tech giants.

    "Samsung Electronics recently asked Apple for a significant price raise in (the mobile processor known as) application processor," the person was quoted as saying in the report. "Apple first disapproved it, but finding no replacement supplier, it accepted the (increase.)"

    Complete Story
  2. ROUSH8692

    ROUSH8692 Well-Known Member

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    Crazy thing is they do stuff with Samsungs parts that Samsung can't even do LOL
  3. Sam I Am

    Sam I Am Unfriendly and Aloof!

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    This statement doesn't make any sense. Explain what you mean? Make an iPhone?
  4. Reality

    Reality Administrator Staff Member

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    First rule of business is to accept deals like that if you have no choice, but immediately put forth a plan to remove yourself from that deal as soon as possible. Ultimately, I believe Apple will make most of their own parts unless there are abundant manufacturers to choose from. Relying heavily on one company for any part puts your company at risk of price gouging and supply shortages and makes your success fully dependent on the success of another company where you have no control.

    That said, I don't blame Samsung for doing it. It's not a "revenge" factor as so many will claim it to be. It is simple business logic. You just had a $1 billion expense added to the books and you need to offset that by raising your prices or cutting your work force. Raising prices is the easiest, especially when it comes to parts where you are a primary supplier to large clients.

    #reality
  5. Future

    Future Intramural Legend

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    I wouldn't be surprised if Apple simply uses this to justify a price increase. It shouldn't be a major increase, andApple customers probably won't even notice the difference if it happen.s
  6. trickblue

    trickblue Old Testament... Zone Supporter

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    This reminds me of the Panasonic (Matsus hita) vs. Sony back in the 80's, 90's and 00's. Really fascinating if you ever look it up.

    Panasonic hated Sony so much that they were willing to set technology back in order to win... and they did.

    VHS vs BetaMax
    DAT vs MiniDisc
    VHSc Camcorder vs Super 8 Camcorder

    Sony finally won with BluRay DVD vs HD DVD

    Panasonic is a mega corporation and parts supplier and threatened to hold off parts to other electronics companies if they supported Sony formats...
  7. BrAinPaiNt

    BrAinPaiNt Brotherhood of the Beard Staff Member

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    Darmok and Jalad at Tanagra

    Shaka, when the walls fell
  8. Phoenix

    Phoenix Well-Known Member

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    Ha ha, this is exactly what I was thinking but didn't post earlier :D
  9. a_minimalist

    a_minimalist Active Member

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    If Apple starts to manufacture its own parts I can't even imagine how many jobs that would create as well as how much larger their margins would be.
  10. AmarilloCowboyFan

    AmarilloCowboyFan Active Member

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    haha, nice reference
  11. Sam I Am

    Sam I Am Unfriendly and Aloof!

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    I was wonder when someone was actually get the reference. :laugh2:
  12. theogt

    theogt Surrealist Zone Supporter

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    Don't mean to interrupt the circle-jerk, but there are many other manufacturers of Apple's screens.
  13. Reality

    Reality Administrator Staff Member

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    That episode was annoying .. I kept thinking, "Draw a freaking picture already because saying it over and over isn't helping!" :D

    #reality
  14. Reality

    Reality Administrator Staff Member

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    I believe Sharp is one of their screen suppliers, but I believe some device screens are exclusive to Samsung.

    #reality
  15. TheCount

    TheCount Pixel Pusher

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    Apple's price scheme has never worked that way. They don't do sales and they don't hike prices. They charge enough of a premium already on their products to cover fluctuations like this.

    As far as Samaung charging more, I doubt they are raising prices just for Apple. Pretty sure that's illegal.
  16. theogt

    theogt Surrealist Zone Supporter

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    At launch of some devices they will have a limited number of suppliers, sometimes just one. But as time goes on they don't rely on just one supplier.
  17. Sam I Am

    Sam I Am Unfriendly and Aloof!

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    Quit hating! :laugh2:
  18. Future

    Future Intramural Legend

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    Nobody ever does anything until they do it.

    Raise prices, play the victim and tarnish the name of Samsung to try to draw people away from their products. That sounds exactly like something Apple would do to me.
  19. Phoenix

    Phoenix Well-Known Member

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  20. BrAinPaiNt

    BrAinPaiNt Brotherhood of the Beard Staff Member

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