Samsung gets home Court advantage with Apple's new law suit filed in South Korea
The Suit was filed June 22nd and claims that Samsung's Galaxy S model copied the design of the third-generation Apple iPhone. Apple started this legal fight against Samsung back in April when it first sued the South Korean based Samsung in U.S. Court, claiming that "Rather than innovate and develop its own technology and a unique Samsung style for its smart phone products and computer tablets, Samsung chose to copy Apple's technology, user interface and innovative style in these infringing products." Samsung returned the volley with suits against Apple in Korea, Japan, Germany and the U.S.
Since then, Apple has requested to see Samsung's prototypes of upcoming smartphones and tablets, a request granted by the courts. In response, Samsung demanded to see Apple's work in progress on the iPhone 5 and iPad 3, a request characterized as harassment by Apple-and the courts agreed, disallowing Samsung's request.
Apple and Samsung have a complicated relationship. Besides suing each other, Samsung does supply parts for Apple products including the iPhone. Last year, Apple was Samsung's second largest customer with orders totaling $5.7 billion. According to China's Commercial Times, Apple might replace Samsung with Taiwan Semiconductor Manufacturing Company with the introduction of the A6 chip in 2012.
1. Psychic (unregistered)
Before the commenting starts:
I'M SURE ALAN F. DOESN'T REALLY THINK THAT THEY HAVE AN ADVANTAGE IN SOUTH KOREA, HE'S JUST JOKING.
Thank you. :)
4. Lucas777 (Posts: 2121; Member since: 06 Jan 2011)
this is kinda funny... samsung brings their legal battle to germany and japan (ithink) and now apple brings it to their own country... but, samsung needs apple much more than apple needs samsung...
5. remixfa (Posts: 13901; Member since: 19 Dec 2008)
id like to know how you figure that since an iphone is like 80% samsung hardware. Samsung manufactures all its own parts, apple manufactures ZERO. If apple leaves samsung they leave the class leading hardware that samsung has provided them since the beginning. All those iProducts you love.. iphones, ipads, ipods.. they are all powered by samsung.
If samsung drops Apple, it loses a big chunk of $$
If apple drops samsung, it loses its main manufacturer, access to class leading hardware, and the garunteed supply chains that samsung has given apple since the beginning. There are very few companys that can supply apple on a full scale.
14. G-Reg (unregistered)
In my experiances being a verizon customer for 10 years and now selling the phones for 3, Samsung is the least reliable company ive seen. Could it just be the software and there hardware is good... idk.
19. jroc74 (Posts: 3628; Member since: 30 Dec 2010)
I think its the phone side period thats iffy.
I have bad memories of my Omnia 1. The experience was so bad I almost got the iPhone. I thought Verizon's service was going bad. Turned out it was my phone. I actually just up n stopped using it 6 months after getting it. The Omnia 1 is the reason I got my Droid 1. I thought I had to have a phone with a physical keyboard. Turns out all you needed was a phone with a decent screen.
I have a Samsung HDTV I got in 2008. According to forums, it shoulda died in 2010, 2011. Its still going strong so far.
I know it wont last forever tho. And their computer monitors are some of my favorites.
20. remixfa (Posts: 13901; Member since: 19 Dec 2008)
I used to work for VZW and now work for Tmo. Samsung, like any phone company has its ups and downs with phones. Theyve made a lot of junk in the past but as of right now, they have the biggest beasts on the block hands down.
When I worked for VZW, LG was the best handset producer outside of a blackberry. The world of cell phones changes in a lightning strike.
17. Lucas777 (Posts: 2121; Member since: 06 Jan 2011)
ya, but apple can find other companies to do their work... they develop the tech, not samsung... samsung does nothing but own the manufacturing plants where they are made... apple could transition to lg, foxconn, or any other manufacturer... no, they might not get the deal they have right now, but they wud be fine... samsung i guess would be fine too, but with so much money coming from their apple relationship, it would lead to a drop is stock price and a lowered profit...
18. jroc74 (Posts: 3628; Member since: 30 Dec 2010)
Yea...look at all those iPads and iPhones sold.
I dont think Samsung will find another 1 company to generate that much sales. They would either have to push their products more and find at least 1-2 companies that are pushing products well.
Only folks I can think of would be HTC. Or make some more WP7 phones and hope they start selling. IMO...the chips Samsung makes or helps makes for phones and tablets should replace the Snapdragon.
Do that and they might not hurt too much. Give Motorola some of them Amoled screens...(I wish...)
21. remixfa (Posts: 13901; Member since: 19 Dec 2008)
Lucas, Samsung developed the "apple" A4 and A5 chips. The only thing Apple did was rebrand them. The chip in an iphone4 and ipad is a Samsung Hummingbird rebranded. The ipad's "A5" is a Exynos rebranded.
Apple doesnt make anything. And they havent developed the chipsets for their iphones. They did however develop the antenna and designs.. how did that work out for them?
Yea, they could get another manufacturer to make their stuff and im sure foxconn and everyone else is dying for the samsung deal to break appart.
But again, very few companies can achieve the economies of scale that apple requires. They will also have to change chipsets for future models which will affect performance and stability one way or another.
26. Matt (unregistered)
I dont think Samsung can be replaced by Apple any time soon. I think all Apple is hoping for is a big chunk of cash from Samsung and some royalty fees for its next and current products and also since the SGS2 is one of the best if not the best android handsets on the market then it also helps Apple degrade the android OS and its current big rival and many consumers dont want a 'copy' they want something 'magical' according to Apple anyway.
Samsung is one of the leaders in screen technology, Apple has already had a backlog of iPad 2s with the Japan earthquake and LG the other leader in screen technology which apple uses has also been having a problem with screen light leaking on many of the new ipads. Apple needs these screens and chips and flash memory drives on a large scale as its products are highly popular and not many companies have the manufacturing power of Samsung. They also need their products to be identical so cant dish out the work to loads of smaller companies.
15. jroc74 (Posts: 3628; Member since: 30 Dec 2010)
I think they need each other.....and they dont need each other. Both will be fine without the other. Samsung will find another company to sell to or just focus more on their own. And Apple will find another company to buy from.
I read somewhere that the iPad 1 or 2 had screen issues and Samsung came to the rescue. The screen on the iPad 1or 2 was done by LG..
Dont know how accurate that is...I do know the screens for the iPhone 4 were done by LG.
6. gallitoking (Posts: 4630; Member since: 17 May 2011)
And Samsungs gets well paid by Apple.. u think is easy for a company to lose the main supplier...not even Samsungs sells as much as Apple...losing that much revenue... it will hurt both and us consumers as well...
7. remixfa (Posts: 13901; Member since: 19 Dec 2008)
if you factor in more than just smartphones, samsung outsells apple like crazy. Samsung is one of those companies that has its hands in everything. Electronics,appliances, construction, utilities.. everything.
Just about everything in korea is made by samsung... and thats not a mis statement.
yea, 5 billion a year is a lot to give up no doubt but it will still hurt more
apple in the end more than samsung.
9. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
And what are you basing your expert opinion on?
10. p0rkguy (Posts: 675; Member since: 23 Nov 2010)
Samsung is the largest and leading electronics producer.
After the setback with Japan, Samsung is even further ahead.
11. remixfa (Posts: 13901; Member since: 19 Dec 2008)
im basing it on education and research. whats your opinion based on?
Apple has a difficult road ahead in korea. Koreans unlike Americans have a huge amount of pride with their stuff, and especially Samsung. For many its an honor to work for Samsung in Korea. Samsung makes the appartments they live in, the electronics they use, and even powers their house.
Good luck trying to find an impartial judge in korea, apple... lol
12. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
So you have the insider knowledge of how 5.7 billion affects Samsung? Get the f**k out of here you dumb troll. Why do you follow Apple around like a puppy when you claim to hate them. You certainly seem very interested in anything they do.
13. Psychic (unregistered)
......he said based on education and research....
.....and this is also a Samsung article so he's not just following Apple around...
22. remixfa (Posts: 13901; Member since: 19 Dec 2008)
keep talking. I need another laugh.. lol. Maybe u should go do some research before you comment. It would help your case.
Can I ask you how "IM the troll" for stating a fact about samsung? How am i even following apple around? This article and my comments are about samsung and korea.
Maybe u should look in the mirror, then you'd find the actual troll. Just saying. :) You sure are getting upset over absolutely nothing. Have you not gotten your hug today?
23. remixfa (Posts: 13901; Member since: 19 Dec 2008)
You give the rest of us a bad name.. just so you know.
Here is a simple wikipedia on samsung. Ill even paste it for you, since you wont find it on your own
The Samsung Group (Korean: 삼성그룹 / Samseong Geurup) is a multinational conglomerate corporation headquartered in Samsung Town, Seoul, South Korea. The Samsung Group comprises numerous international affiliated businesses, most of them united under the Samsung brand including Samsung Electronics, the world's largest technology company by sales; Samsung Heavy Industries, the world's second largest shipbuilder; Samsung Engineering was ranked 35th, Samsung C&T 72nd in a 2009 ranking of 225 global construction firms compiled by the Engineering News-Record, a U.S. construction journal. Samsung Life Insurance was ranked 14th in a 2009 ranking of Fortune Global 500 Industries. Samsung Everland, South Korea's first theme park opened in 1976 as Yongin Farmland. It is now the fifth most popular theme park in the world, beating out Epcot, Disney MGM and Disney's Animal Kingdom. Cheil Worldwide operates as a subsidiary of Samsung Group and was ranked #19 among the "World's Top 50 Agency Companies" by revenue in 2010. Shilla Hotel, a subsidiary of the Samsung Group, has been ranked #58 among the "2009 World's Best Top 100 Hotels" in the annual reader survey conducted by the prestigious international business magazine, Institutional Investor.
The Best Overall Generalist Sales Force survey ranks 22 firms that participated in Institutional Investor’s 2007 All-Asia Research Team survey. Samsung Securities (Investment Bank) was ranked #14 among the "2007 All-Asia Best Overall Generalist Sales Force Rankings" by revenue in 2007.
Gartner’s “Market Share Analysis: Top 10 Consulting Providers’ Revenue, Growth and Market Share, Worldwide and Regional 2009” is intended as a tool for service providers. Samsung SDS was second in Asia Pacific with IBM topping the list, and Accenture third.
Samsung Group accounts for about a fifth of South Korea's total exports. In many domestic industries, Samsung Group is the sole monopoly dominating a single market, its revenue as large as some countries' total GDP. In 2006, Samsung Group would have been the 35th largest economy in the world if ranked, larger than that of Argentina. The company has a powerful influence on the country's economic development, politics, media and culture, being a major driving force behind the Miracle on the Han River. Many businesses today use Samsung's international success as a role model. Samsung bought Media Group in 2010.
So yea, 5 billion a year is a lot of money, but Samsung will survive just fine without it.
16. jroc74 (Posts: 3628; Member since: 30 Dec 2010)
Key phrase in his post was:
if you factor in more than just smartphones Samsung is one of those companies that has its hands in everything. Electronics,appliances, construction, utilities.. everything.
24. remixfa (Posts: 13901; Member since: 19 Dec 2008)
20,trillion South Korean Won = 18.6 billion US Dollars
Total actual profit for samsung worldwide in 2010
Not just sales, like the article talks about. They may lose 5 billion in sales, but that doesnt mean 5 billion in operating profit.
since it says their semiconductor business ran a 32% profit margin..
5 billion x 0.32 = 1.6 billion dollars in profit.
ya, thats still huge. Id like to hug 1.6 billion bux one day. But taken in context of its 18.6 billion in operating profit worldwide (and it was a bad year for them actually) its 11% of their profit. They will survive. In fact, that gives other companies the ability to buy hummingbird and exynos processors from samsung where apple had an exclusive lock on it (other than sammy) so they probably wont be losing too much business over all with all the new customers they will have. Why buy snapdragon when u could buy exynos?
Even more phones with exynos gets me all warm n tingly inside.
25. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
So based on you're research 5 billion would be a huge hit to samsung. I didn't say they wouldn't survive, but what you're trying to say is Apple would be hit harder and you have no way of making an intelligent comment on that. If you're so smart why are you a sales rep of cell phones and not running a multi billion dollar company.
27. remixfa (Posts: 13901; Member since: 19 Dec 2008)
u obviously didnt read. But i expected as much.
too much talking and not enough listening/research is what is wrong with most people.
your a frikking idiot.
and why am i not running a billion dollar company?
1) not old enough to be hired as CEO and didnt get one left to me
2) not interested
3) going to school for other things.
Whats your excuse? :)