Samsung is making so much money with the iPhone X, that it has all interest in that it is a real success

According to a small survey conducted by the Wall Street Journal, the iPhone X will yield more to Samsung than its own sales of Galaxy S8, at least if we stick to selling components. This is due to the dependency relationship Apple has with Samsung, the only component supplier capable of delivering a sufficient number of screen and quality memory chips.

The US newspaper says indeed that for every iPhone X sold 1000 dollars, Samsung would receive about $ 110. This amount received by Samsung comes from its different component divisions, which produce OLED screens, NAND memory chips (internal memory) or RAM.

A curious and unique interdependence

According to the Wall Street Journal, Apple would be so dependent on Samsung – the only provider capable of delivering both volumes and quantities – that selling components for the iPhone X would yield nearly $ 4 billion more than the sale of components for the Galaxy S8. As Samsung is a huge entity, it buys the components of its own smartphones directly from its internal divisions.

This interdependence between two enormous competing brands is today almost unique and paradoxical. On the one hand, Samsung has every interest in that sales of the iPhone X are doing well. The various production divisions of Samsung account for almost 35% of the company’s turnover. On the other hand, Apple needs the components of Samsung in order to offer an iPhone X quality and sufficient number. And officially, the two brands compete in the smartphone market, Samsung being number 1 and Apple number 2.

Tracy

Tracy

Always on the move... Love to blog, write about smartphones, technology and telecoms. I also like to snowboard, when I have the time :p I'll be around for a while so, be prepared.

Leave a Response