Samsung shipments of mobile processors to Apple to increase by factor of 4 in 2011

Sat, Jan 29, 2011

News

The Korea Times reports that in 2011 Samsung will ship four times as many mobile processor chips to Apple as it did in 2010. Samsung might compete with Apple with products like the Galaxy Tab and the Samsung Nexus S, but doing business with Apple is huge business.

The only detail known appear to be the most crucial one ― the values of the contract.

“Samsung has agreed with Apple to quadruple monthly shipments of its mobile AP [application processors] chips to 20,000 sheets throughout this year from 5,000 last year,” said an industry source, citing Samsung’s suppliers as the source, Wednesday.

This means that Samsung will offer 50 percent of its AP capacity to Apple for 2011, which would be more than the supply for its own products such as Galaxy S and Galaxy Tab, according to the executive.

Another industry executive came up with the same story.

“Samsung aims to chalk up multiple effects through the sales. For one, it will be able to strengthen its non-memory business by shipping fast and low-power chips to Apple. That’s a very fine-tuned strategy,” he said.

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