Sunday, November 25, 2012

Apple Inc. (NASDAQ:AAPL): Samsung Withdraw As Battery Supplier

As per recent reports, Samsung has retracted as the battery supplier of Apple Inc. (NASDAQ:AAPL).
Two Chinese companies happen to have stepped up to fill in on MacBook, iPad batteries.

China Business News claims that Samsung’s battery producing ancillary, Samsung SDI has taken the decision of withdrawing from selling batteries to Apple. This is probably retaliation for several moves that Apple has made to lower its dependence on Samsung as a supplier of parts. The Chinese companies, namely Amperex Technology and Tianjin Lishen Battery are believed to be filing in for Samsung’s absence in the MacBook and iPad lines of batteries that Samsung SDI was supplying till date.

There have been a lot of speculations regarding a number of retaliatory measures between Apple and Samsung, mostly in Chinese publications. However, at present, there is not much proof that any of the rumors are true. It would make sense for Apple to withdraw as much business agreements with Samsung as possible. However, there are a few other companies that can make components of Apple products.

The latest rumor has not yet been denied by Samsung, although it has rubbished that it was increasing costs on Apple for processors by a margin of 20%. It also denied that it has terminated its agreement with Apple for displays in iPad and other Apple gadgets. It is probable that Apple had instigated the change in battery suppliers.

It is yet to be seen if Apple has or will actually change battery suppliers. Apple has a record of keeping more than one supplier on hand as needed for as many parts as possible. The company has seen to be training Taiwan Semiconductor Manufacturing Company to provide Apple with several types of chips ranging from power regulators to full blown processors. Apple has a reputation for diversifying the display suppliers and other component vendors.


  1. No surprise that Samsung is cutting it's ties with Apple. These lawsuits are only hurting Apple. Why can't they just make products like everyone else?!?!?! And let consumers buy what they like, end of story. If they're confident in there products then there shouldn't be any worries.

  2. With Apple's patent-troll ways as of late, many of which are targetting Samsung, Samsung should have done this a long time ago.
    Infact, withdraw ALL their products from being on offer for Apple, and let Apple look at all the other suppliers out there, almost all of whom are inferior to Samsung in quality and performance.
    Let's see how many people keep buying Apple now that the parts are worse, performance is even further behind the competition...All on top of not really changing anything in their devices in the last 2 years (no, offering another screen size, increasing the resolution even further into what the eye can't see anyways and offering more colors in the device choices don't count)


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