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Samsung hints Apple may release 7.85-inch iPad in 2012, spend $11 billion on Samsung parts

Posted: , by Victor H.

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Samsung hints Apple may release 7.85-inch iPad in 2012, spend $11 billion on Samsung parts
Apple is in hot war over intellectual rights with Samsung but its dependance on the Korean hardware giant’s production is just going to grow in 2012. While in 2011 Apple spent nearly $7.8 billion on Samsung-made parts, in 2012, this number will grow further to $11 billion.

“The amount of the current contract is around $9.7 billion, butis expected to rise to $11 billion by the end of this year as Apple is planning to release a smaller iPad, probably with a 7.85-inch screen, and to sell more of its MacBook Air PCs using Samsung’s faster solid state drive storage,” a Samsung executive told The Korea Times speaking on the condition of confidentiality.

Now, while the focus of the executive’s message the fact that Apple will spend more on Samsung parts, having a confirmation of the real possibility for a 7.85-inch iPad from a Samsung official is probably even bigger news.

Samsung is known for making computer memory chips, NAND flash memory, mobile processors and displays. It’s said to be investing more into new screen technologies, a key to a company’s success on the mobile market.

Apple is tied in contracts with Samsung until 2014, and the sum that it spends on hardware is likely to only increase by that time. So while on one hand Samsung shouldn’t be pleased with the success of the iPad over its Galaxy Tabs and Notes, on the other hand, it’s still making profits out of Apple’s gadgets as well.

source: Korea Times via SlashGear

26 Comments
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posted on 13 Mar 2012, 10:51 8

1. andro. (Posts: 1960; Member since: 16 Sep 2011)


R.i.p ipod touch,or is it welcome ipod touch xl?!
All this collaboration with Samsung makes apples court case attacks on Samsung look even more silly

posted on 13 Mar 2012, 21:08

21. Lucas777 (Posts: 2137; Member since: 06 Jan 2011)


samsung and apple both jointly agreed to keep their manufacturing side out of the dispute.. eventually it might deteriorate but shortly i would say no..

and somehow i just dont see apple making a smaller ipad… yes they would make fabulous amounts of money, but idk where it would fit into the pricing scheme of their products… maybe it will go for 250-300

posted on 14 Mar 2012, 00:36

25. bayusuputra (Posts: 941; Member since: 12 Feb 2012)


yeah, it's quite silly when you try to bite the hands that feed you..

posted on 13 Mar 2012, 10:59 4

2. itiswhatitis (Posts: 422; Member since: 23 Jan 2012)


Seems like,it really is nothing personal just business!

posted on 13 Mar 2012, 11:08 1

3. clevername (Posts: 1429; Member since: 11 Jul 2008)


I don't know much about international business law, but here in America this is a huge no no for a contractor to release info like that. Will there be any fallout I wonder?

posted on 13 Mar 2012, 11:09 1

5. Pdubb (Posts: 239; Member since: 08 Aug 2011)


If true I bet it will be a big stink in the end!

posted on 13 Mar 2012, 13:37

17. clevername (Posts: 1429; Member since: 11 Jul 2008)


It should be. This is is basically insider trading. People get time in prison for it. Although usually insider trading is meant to make an individual money, in this case it would be to further the company and not the individual. Same premise tho.

posted on 13 Mar 2012, 14:42

18. PaulNotFromSweden (Posts: 52; Member since: 16 Sep 2011)


Insider trading is buying and selling securities (like stocks) based on information that is not available to the general public. This information from Samsung has nothing to do with insider trading. They may be revealing trade secrets, in which case I would expect Apple's legal department to gently remind Samsung of the terms of their contract.

posted on 13 Mar 2012, 15:58

19. clevername (Posts: 1429; Member since: 11 Jul 2008)


Ah thx for the correction, don't know what I was thinking.

posted on 13 Mar 2012, 11:08

4. Pdubb (Posts: 239; Member since: 08 Aug 2011)


With Apple's private nature it would seem someone at Samsung is about to be in some trouble. Maybe this is how their relationship ends.

posted on 13 Mar 2012, 11:15 1

6. itiswhatitis (Posts: 422; Member since: 23 Jan 2012)


Or maybe apple is paying them to create rumors, you never know what happen behind the scene!

posted on 13 Mar 2012, 11:18 4

7. cellphonator (Posts: 298; Member since: 29 Oct 2011)


That's crazy, all these fights in which we take part of one rather than the other one and then they do business like old buddies like nothing is happening. That's business, I know but it makes you think...

posted on 13 Mar 2012, 11:26 2

8. good2great (Posts: 1039; Member since: 22 Feb 2012)


this is funny... you guys on here dont look at the big picture with all this apple vs samsung... while yall cry your hearts out picking sides these two companies are great business partners. Samsung has contributed a lot to Apple's success. and Apple is making Samsung rich as well...

posted on 13 Mar 2012, 11:28 4

9. gallitoking (Posts: 4690; Member since: 17 May 2011)


I learned my lesson . no more attack to Samsung. we fighting here and then shaking hands depending on one another,..

posted on 13 Mar 2012, 11:37 8

10. SuperAndroidEvo (Posts: 4208; Member since: 15 Apr 2011)


Well really Apple depends on Samsung's high quality products. Imagine what an iPhone 4S or a new iPad would look & perform like if it didn't have the Samsung DNA in its body.

It would be an ugly, poor working machine! I mean an iPhone or an iPad are just Samsung products with an Apple logo on them! lol

posted on 13 Mar 2012, 11:47 2

12. good2great (Posts: 1039; Member since: 22 Feb 2012)


you are absolutely right!

apple needed the "best" manufacturer to make their products...

apple's beef isnt with Samsung... its with Android...

software vs software

remember Steve's dying wish...

posted on 13 Mar 2012, 12:14 4

13. PAPINYC (banned) (Posts: 2315; Member since: 30 Jul 2011)


'Imagine what an iPhone 4S or a new iPad would look & perform like if it didn't have the Samsung DNA in its body.'

It would probably look like a Kyocera Echo™ and perform like a Windows Mobile 5, 6, 6.1, 6.5, 7, 7.1 phone.

posted on 13 Mar 2012, 12:17 2

14. SuperAndroidEvo (Posts: 4208; Member since: 15 Apr 2011)


LMAO!!!!

posted on 13 Mar 2012, 21:13

22. Lucas777 (Posts: 2137; Member since: 06 Jan 2011)


there is no windows mobile 7/7.1…. its windows phone.. which performs better in real life than almost any other phone

and apple creates all their tech… samsung just puts it on an assembly line… its not like apple uses samsung amoled screens and such…

posted on 13 Mar 2012, 21:43

23. chadrick0814 (Posts: 208; Member since: 23 Nov 2011)


You are right, Apple goes to LG for its IPS screens. If its as simple as "putting it on an assembly line," why do they pay Samsung and LG billions when they can pay their workers at Foxconn 2 slices of bread and 3 cents an hour to do it?

posted on 13 Mar 2012, 22:06

24. Lucas777 (Posts: 2137; Member since: 06 Jan 2011)


well i would hope samsungs and lg's and sharp's assembly lines are a little more well kept.. i dont think foxconn could produce the quality of tech needed by apple-- they use foxconn for easier things and for assembly

posted on 14 Mar 2012, 00:45

26. bayusuputra (Posts: 941; Member since: 12 Feb 2012)


apple didn't create all the tech, they just created the spec sheets.. it is Samsung who made them reality.. so it's not as simple as putting it on assembly line..

posted on 13 Mar 2012, 11:46

11. dragonnub99 (Posts: 14; Member since: 23 Nov 2011)


why is all phonearena news talking about apple product

posted on 13 Mar 2012, 12:18 4

15. Obviously (Posts: 29; Member since: 29 Feb 2012)


Take a wild guess.

posted on 13 Mar 2012, 12:58 2

16. jmoita2 (Posts: 930; Member since: 23 Dec 2011)


Ponearena is starting to suck,it reads and feels more like Apple.com every day...

posted on 13 Mar 2012, 16:15

20. gallitoking (Posts: 4690; Member since: 17 May 2011)


the irony on your statement is that here is filled with fandroids... 5-1 at least

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