Samsung plans to stop supplying LCD panels to Apple next year

According to foreign media reports, due to the gap between Samsung and Apple has become increasingly difficult to make up for it, a few days ago that Samsung plans to terminate the supply contract with Apple's LCD panel next year.

According to a report by the Korean media “Korea Times” on Monday local time, a Samsung executive revealed that the company will terminate its LCD panel and other display panel business with Apple for many years, which also marks the complete breakdown of the relationship between the two companies. . It is reported that Samsung has begun to reduce the supply of display panels to Apple, and after entering 2013, all LCD panel supply business between Samsung and Apple will be completely stopped.

Obviously, Samsung's reduction of Apple's business volume will affect the company's revenue. However, Samsung said that reducing the supply of Apple will enable its own smartphone business to meet the demand for LCD panels. At the same time, Amazon also said it will increase the amount of Samsung display screen purchases for the Kindle Fire HD tablet.

According to a survey conducted by DisplaySearch, a market research company, Samsung's Samsung Display Co. provided more than 15 million LCD panels to Apple in the first half of 2012. It is Apple’s largest LCD supplier, exceeding LG’s 12.5 million and Sharp’s 2.8 million. Order amount. In the third quarter of this year, Samsung’s LCD supply has dropped to less than 3 million, and it is expected to drop to 1.5 million in the fourth quarter. In addition, Samsung also failed to become one of the panel suppliers of the upcoming iPad Mini.

It is worth mentioning that earlier this year, Samsung was considered to be the only supplier of retina screens capable of producing new iPads for Apple, but now LG and Sharp have joined the ranks.

In fact, the relationship between Samsung and Apple has been very unique for a long time. On the one hand, Samsung's ability to supply parts on a large scale has led to the formation of a long-term partnership between the two parties. On the other hand, as Samsung’s biggest competitor, Apple’s smartphones and tablet PCs are squeezing the market share of Samsung’s products every year. At the same time, the patent war between the two is also in full swing around the world.

It is reported that Samsung's decision to terminate the supply of Apple's LCD panel is mainly related to Apple's intention to transfer its chip supply orders to Taiwan Semiconductor Manufacturing Co. The news has been confirmed by an anonymous Samsung executive. If the news is true, it may mean a complete breakdown of the relationship between Samsung and Apple.