How Samsung Wins With iPhone X's Expected Success
A recent report shows an interesting dynamic between Apple and Samsung that ultimately explains how Samsung will also benefit from the success of its rival's upcoming iPhone X.
Needless to say, it is that time of the year again when Apple and Samsung go neck and neck to be the top smartphone maker in the global market.
The South Korean corporation attempted to get a head start versus its Cupertino, California-based competitor by releasing the Galaxy Note 8 a couple of weeks earlier than the launch of the iPhone 8 series and iPhone X.
Get Our Latest News for FREE
Back when the edge-to-edge iPhone X screen was still a speculation, reports were also certain that Apple's main source of organic light-emitting diode display panels was Samsung's components division, which is also known as Samsung Display. This is reportedly one of the reasons why Samsung will financially benefit from iPhone X's success.
According to a report from the Wall Street Journal, Samsung gets $110 for every unit of iPhone X sold by the time it is released on Nov. 3. The upcoming mobile will cost about $1,000 each.
The report added that part of Samsung's entire operation is supplying display panels and components for custom memory chips, such as what Apple requires for their mobile phone offerings, and the fact is that the former remains to be one of the giant firms that can provide most of the latter's needed parts to assemble an iPhone. From that, Samsung reportedly rakes in "billions of dollars."
It is also important to note that Samsung's parts division greatly needs Apple's immense orders to practically soar in the business. The same WSJ report shared that 35 percent of the $195 billion earnings of Samsung's component-making industry was generated from Apple's order alone.
It was also clarified that the division of Samsung that supplies key parts to Apple for its iPhones is separate from Samsung Electronics that makes the Galaxy series smartphones. This explains why the South Korean technology giant still continues to make an extensive effort to get ahead of Apple in terms of the smartphone manufacturing scene.
The Galaxy Note 8 is currently available in the market. Meanwhile, pre-orders for iPhone X will begin later this month.
