Samsung to supply quad-core A6 CPU to Apple despite legal battle - report

Posted:
in General Discussion edited January 2014
Samsung is expected to remain the primary chip supplier for Apple and its anticipated next-generation A6 processor despite a bitter patent dispute between the two companies, according to a new report.



Citing industry sources, Korea Times reported on Monday that Apple will continue to use Samsung's chips in its next-generation iPhone. Specifically, Apple is said to have been in talks with Samsung to have it build a next-generation quad-core "A6" processor.



The report said that Apple feels Samsung remains a "critical business partner," even as the two companies are engaged in a number of lawsuits across the world, accusing the other of patent infringement.



Samsung is said to have been increasing output of Apple-designed A6 chips at a manufacturing plant the company owns in Austin, Texas. The A6 CPU is expected to utilize Samsung's 28-nanometer processing technology.



Numerous reports this year have indicated that Apple has instead partnered with Taiwan Semiconductor Manufacturing Co. for production of its next-generation A6 and even A7 processors. Monday's report indicated that while TSMC will build chips for Apple in addition to Samsung, its volume will be "very small."



TSMC was said to have begun trial production of Apple's rumored A6 processor in August. The chip is expected to debut in the first half of 2012 in a new third-generation iPad from Apple.



A very public growing rift has developed between Samsung and Apple, and patent infringement lawsuits have led to the Samsung Galaxy Tab 10.1 being barred from sale in Australia and Germany. But even as lawsuits have mounted, Samsung has remained a crucial supplier for Apple's most popular products, including the iPhone and iPad, by building custom chips and providing other components, such as NAND flash memory.







Apple Chief Executive Tim Cook is allegedly set to meet personally with Samsung Chief Operating Officer Lee Jae-yong, son of Samsung Chairman Lee Kun-hee and heir apparent to the company. Jae-yong also attended a memorial service held for Jobs on Sunday.



The Korea Times report also includes alleged information on Apple's next-generation iPhone, the follow up to the company's just-released iPhone 4S. According to the report, industry sources indicated that the next iPhone will sport a larger 4-inch LCD display supplied by LG.



Even with the larger screen size, the next iPhone will reportedly have an identical resolution of 960-by-640 pixels. It was also said that Apple is unlike to adopt an OLED display.
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Comments

  • mister snitchmister snitch Posts: 580member
    You know, politics and technology make strange bedfellows.
  • drdoppiodrdoppio Posts: 1,132member
    Rumors about iPhone5... hmmm...



    I'd find it more likely if the new chip goes into iPad3 first.



    What is a phone going to do with a quad core anyways?
  • conradjoeconradjoe Posts: 1,887member
    Quote:
    Originally Posted by AppleInsider View Post


    Samsung is expected to remain the primary chip supplier for Apple and its anticipated next-generation A6 processor despite a bitter patent dispute between the two companies, according to a new report.








    What a BURN!





    It looks like Apple needs Samsung a whole lot more than Samsung needs Apple!



    Samsung gives it to Apple right up the keister, and Apple turns around and begs for more! Please Mr. Samsung, I want your chips! Please be nice to me, I have no choice!



    Apple is desperate if they make themselves reliant on the likes of Samsung. Maybe their Sooper Sekrit Settlement will allow Apple to suck the Samsung teat for a few more years before Sammy cuts them loose.



    Unbelievable. Samsung's lawyers must be popping the Champagne corks right about now.
  • userblahuserblah Posts: 17member
    Quote:
    Originally Posted by ConradJoe View Post


    What a BURN!





    It looks like Apple needs Samsung a whole lot more than Samsung needs Apple!



    Samsung gives it to Apple right up the keister, and Apple turns around and begs for more! Please Mr. Samsung, I want your chips! Please be nice to me, I have no choice!



    Apple is desperate if they make themselves reliant on the likes of Samsung. Maybe their Sooper Sekrit Settlement will allow Apple to suck the Samsung teat for a few more years before Sammy cuts them loose.



    Unbelievable. Samsung's lawyers must be popping the Champagne corks right about now.



    Are you serious? This is a separate division of Samsung and I can guarantee that Samsung needs Apple as much if not more than Apple needs them. Do you have any idea how much Samsung makes for providing the CPUs? It's not like Apple is begging them for free CPUs.
  • absolutedesignzabsolutedesignz Posts: 1,930member
    Quote:
    Originally Posted by userblah View Post


    Are you serious? This is a separate division of Samsung and I can guarantee that Samsung needs Apple as much if not more than Apple needs them. Do you have any idea how much Samsung makes for providing the CPUs? It's not like Apple is begging them for free CPUs.



    lol he's not serious...he's mocking those who say similar things about a reverse type situation
  • jcozjcoz Posts: 251member
    Quote:
    Originally Posted by ConradJoe View Post


    What a BURN!





    It looks like Apple needs Samsung a whole lot more than Samsung needs Apple!



    Samsung gives it to Apple right up the keister, and Apple turns around and begs for more! Please Mr. Samsung, I want your chips! Please be nice to me, I have no choice!



    Apple is desperate if they make themselves reliant on the likes of Samsung. Maybe their Sooper Sekrit Settlement will allow Apple to suck the Samsung teat for a few more years before Sammy cuts them loose.



    Unbelievable. Samsung's lawyers must be popping the Champagne corks right about now.



    If apple needed Samsung more than they needed apple, then Samsung would be cutting apple off for these chips, as that seems to be the only way for Samsung to apply pressure to Apple's ability to produce enough iPhones. Samsung appears to be losing in the patent battles and this is now directly causing Samsung serious damage not being able to ship galaxy tabs to several countries right now.



    I think you haven't thought these comments through.



    Apple right now is blocking Samsung products from being shiped and sold. Thats a direct hit on Samsungs CE division.



    Truly you can't believe that Samsung would continue to supply Apple with a critical componant which is the heart of all iDevices if they did not NEED to. Because if Apples buisness wasn't very important to them, I would think this is one area that they actually CAN put the screws to apples buisiness, as it is becoming more increasingly clear that Samsung dos not hold the patents neccessary to do so in patent litigation.
  • jcozjcoz Posts: 251member
    Quote:
    Originally Posted by AbsoluteDesignz View Post


    lol he's not serious...he's mocking those who say similar things about a reverse type situation



    Oh. Whoops.



    Carry on then.
  • neothetaneotheta Posts: 16member
    In discussions ≠ Agreement.
  • exceptionhandlerexceptionhandler Posts: 156member
    Quote:
    Originally Posted by AppleInsider View Post


    ... According to the report, industry sources indicated that the next iPhone will sport a larger 4-inch LCD display supplied by LG.



    Even with the larger screen size, the next iPhone will reportedly have an identical resolution of 960-by-640 pixels. It was also said that Apple is unlike to adopt an OLED display.



    Still on about larger screens? Wow, give it a rest people. I doubt the iPhone will ever sport a larger screen, and I cant remember the exact percentage, but only a small number of people were upset the 4S did not have a larger screen...



    Go buy an android phone if its that important to you.
  • ironheadslimironheadslim Posts: 157member
    Don't think Apple will go backwards in dpi.



    Quote:
    Originally Posted by AppleInsider View Post


    Even with the larger screen size, the next iPhone will reportedly have an identical resolution of 960-by-640 pixels.



  • smalmsmalm Posts: 579member
    Quote:
    Originally Posted by AppleInsider View Post


    SApple Chief Executive Tim Cook is allegedly set to meet personally with Samsung Chief Operating Officer Lee Jae-yong, son of Samsung Chairman Lee Kun-hee and heir apparent to the company. Lee also attended a memorial service held for Jobs on Sunday.



    tftfy
  • a grain of salta grain of salt Posts: 68member
    Quoting the Korea Times..hmmm...brave.
  • Not surprising, given that Samsung already has an advanced and very well-established chip fabrication business. Despite the numerous back-and-forth patent trolling among both companies, the deal is still mutually beneficial to each other so why not?
  • drosborodrosboro Posts: 2member
    Quote:
    Originally Posted by IronHeadSlim View Post


    Don't think Apple will go backwards in dpi.



    Actually, if the screen is only going to be slightly larger (e.g. not a different product category like a 7"), they'd almost definitely go "backwards" in DPI rather than create a whole different resolution to support. It's unwieldy enough dealing with original-sized iPhone and iPod touch, retina display, and iPad resolutions. They're not going to add another resolution that's only slightly different from the current retina display just to keep from "going backwards on DPI"...



    ... at least, I hope not (as a developer) ...
  • ajitmdajitmd Posts: 365member
    Quote:
    Originally Posted by Jcoz View Post


    If apple needed Samsung more than they needed apple, then Samsung would be cutting apple off for these chips, as that seems to be the only way for Samsung to apply pressure to Apple's ability to produce enough iPhones. Samsung appears to be losing in the patent battles and this is now directly causing Samsung serious damage not being able to ship galaxy tabs to several countries right now.



    I think you haven't thought these comments through.



    Apple right now is blocking Samsung products from being shiped and sold. Thats a direct hit on Samsungs CE division.



    Truly you can't believe that Samsung would continue to supply Apple with a critical componant which is the heart of all iDevices if they did not NEED to. Because if Apples buisness wasn't very important to them, I would think this is one area that they actually CAN put the screws to apples buisiness, as it is becoming more increasingly clear that Samsung dos not hold the patents neccessary to do so in patent litigation.



    Samsung is a very diversified company. They make all kinds of electronic components, like CPUs, Flash, DRAM, LCD displays as well as consumer goods. They could do without the Apple CPU business and barely miss a beat.



    On the other hand, if Samsung just terminated their A4, A5 production at the earlier date that their contract allowed, Apple would be a world of hurt. More than half of the profits come from the related products.



    Apple should going after Google and Android. Google search is nice, but there are other search engines.
  • conradjoeconradjoe Posts: 1,887member
    Quote:
    Originally Posted by IronHeadSlim View Post


    Don't think Apple will go backwards in dpi.



    dpi is just a spec. Apple doesn't care about specs. Apple cares about profitability, and if a lower dpi spec would yield more profits in the long haul, Apple would go to lower dpi. Apple customers don't care about specs.



    You think Grandma cares about specs? "I like this one with the big screen so I can see it better." "But Grandma, that one has lower dpi!" "Lower dpi! Why didn't you says so! I'm all about the dpi spec! Screw seeing the screen! I want the most dpi's!"



    I don't think so. If making more profits were likely with lower dpi, Apple would lower dpi. Specs are for geekazoids, and Apple doesn't care about geekazoids. Not anymore.
  • crawdad62crawdad62 Posts: 86member
    Quote:
    Originally Posted by The Mock Turtleneck View Post


    Not surprising, given that Samsung already has an advanced and very well-established chip fabrication business. Despite the numerous back-and-forth patent trolling among both companies, the deal is still mutually beneficial to each other so why not?



    Exactly. People think the legal maneuvering is like two neighbors going back and forth about building a fence on the property line. They're going to do what's best for the company. Apple needs Samsung and Samsung need Apple.
  • conradjoeconradjoe Posts: 1,887member
    Quote:
    Originally Posted by crawdad62 View Post


    Exactly. People think the legal maneuvering is like two neighbors going back and forth about building a fence on the property line. They're going to do what's best for the company. Apple needs Samsung and Samsung need Apple.





    even a dog knows better than to bite the hand that feeds it. And unless Apple can eat chips, it will not forget where they come from.





    Maybe someday Apple will be able to punish Samsung. But as of now, they funnel profits to Samsung. Hey - I don't blame Apple. Its not like there is excess capacity in the chip biz. All the fabs are doing gangbusters. Samsung is well-positioned to make lots of cash from Apple fans.



    The smart money, the 1%ers, already hold Apple. The 1% is holding AAPL and going long on SE.
  • webfrassewebfrasse Posts: 145member
    Quote:
    Originally Posted by ConradJoe View Post


    What a BURN!





    It looks like Apple needs Samsung a whole lot more than Samsung needs Apple!



    Samsung gives it to Apple right up the keister, and Apple turns around and begs for more! Please Mr. Samsung, I want your chips! Please be nice to me, I have no choice!



    Apple is desperate if they make themselves reliant on the likes of Samsung. Maybe their Sooper Sekrit Settlement will allow Apple to suck the Samsung teat for a few more years before Sammy cuts them loose.



    Unbelievable. Samsung's lawyers must be popping the Champagne corks right about now.



    Apple is most likely Samsung's largest customer...enough said.
  • jcozjcoz Posts: 251member
    Quote:
    Originally Posted by AjitMD View Post


    Samsung is a very diversified company. They make all kinds of electronic components, like CPUs, Flash, DRAM, LCD displays as well as consumer goods. They could do without the Apple CPU business and barely miss a beat.



    On the other hand, if Samsung just terminated their A4, A5 production at the earlier date that their contract allowed, Apple would be a world of hurt. More than half of the profits come from the related products.



    Apple should going after Google and Android. Google search is nice, but there are other search engines.



    Well that's my point. I know very well that Samsung is well diversified and even though apple is thier biggest customer I still think apples orders constitute a single digit % of samsungs revenue. That said, apples buisiness obviously means more to samsung than you might think just looking at %'s because Samsung has not apparently tried to use thier semiconductor division as a club with which to make apple soften thier stances with samsungs CE division and sales.
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