Samsung, Despite Patent Infringement case with Apple, Invests $4 billion towards Apple iPhone and iPad chip production

With Apple and Samsung publicly attacking one another and in serious legal litigation, consumers tend to forget that both companies are key partners in their respective business strategies. Most recently, Samsung has opened a plant in Austin, Texas that is responsible for manufacturing the A5X CPU for Apple’s iPhone and iPad. It comes as no surprise, that Apple is expected to announce the new iPhone 5 and most likely an iPad Mini next month. This investment only further legitimizes that an announcement is near. Samsung”s investment will go to improving and increasing production of their Austin plant. This is speculated to be in preparation for Apple’s new models.

Considering this amount is on top of the original $3.6 billion investment by Samsung (to get the plant opened) and you get that Samsung is ready to make this a priority for their business.

It truly is amazing that 2 companies that have made such harsh claims of one another, are still  able to maintain such a great business partnership. However at the end of the day, if both companies are going to make substantial amounts of money off a new Apple platform, this speaks less to their professionalism and more to profit margins. As noted yesterday, the jury has begun deliberating on what is easily one of the biggest cases in tech history.

Reuters

 

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joelaxel1997 10 pts

make one of them in SAN ANTONIO :)

mbcls 18 pts

what a stupid article!  just cus samsung invested 4billlion$ in austin tx, it doesnt mean they'll making chips for apple!  didnt galaxy siii sold 10 millions already?  maybe samsung want to pump out chips faster so they can release their own products faster like note2 !

Jose H 5 pts

 mbcls Did you read the post at all? The article states that the plant was opened to make the processor ship Apple will use for the Iphone. Did you read the article before you posted? It is right on top?

mbcls 18 pts

 Jose H is the article from samsung??   did samsung say the TX plant is to build chips for apple?  it' just somebody CLAIMING the TX plant is to build chips for apple!  

Jose H 5 pts

 mbcls I clicked on the Reuters link. If you read their report, it says that Samsung "Said" they are making the investment on the facility to better produce ships for clients like Apple. So they are investing on the plant to make more ships for Apple. However, they are probably also making some of their own ships there as well. So Reuters states that Samsung "Said". It may be wrong, but for right now, that is what the article said. I did do a Google search before I posted and other sources: Cnet, FoxBusiness, 9to5mac" are also reporting the same. I HATE the fact that this is true with a passion. I can not stand Apple. But for right now, the reports confirmed that Samsung will be making an investment that in some part will go to producing more Apple processors.

mbcls 18 pts

 Jose H why are you looking at 3rd party for answer?  show me the press release from samsung.   if i'm sick, i going to ask my doctor NOT asking my coworker what i should do.  haha

mbcls 18 pts

 Jose Hhere is the PRESS RELEASE from samsung.  where is the word "apple" in their news release?

 

 http://www.samsung.com/global/business/semiconductor/news-events/press-releases/detail?newsId=11861

 

JQuest81 87 pts

 Jose H mbcls Wait, Samsung is producing ships now for Apple?? What are they calling it? the iShip? They're really stretching it now! LOL I'm sorry I had to!! :-) 

 mbcls Why the hell would Samsung mention Apple in ANY press release? You stupid and illiterate fuck. 

JBLmobileG1 24 pts

This just discusses me. Apple is like the pimp and Samsung is acting like the hooker who gets beat by the pimp, gives them all their money, yet the hooker stays in it for the drugs and maybe a little of the money. It's ridiculous and almost makes me want to get rid of my Samsung Galaxy S3. Really Samsung how can I support you and buy anymore of your product when I have a feeling your holding back yourself because of the competition? Maybe I should go back to HTC.

Jose H 5 pts

 JBLmobileG1 I do not like Apple, their products or the way they just...., I don't like Apple, at all. However, I do understand that they do pay Samsung a crap load of money for the processors that Samsung makes for the Iphone. A truck load of money. Samsung would be foolish to not keep producing a product they are being paid to produce. Am I happy about it, NO. But I do have to understand that Samsung needs to make money to stay ahead. Now, if we can help push Samsung pass the current need to do business with Apple, then, Great. For right now, it is a necessary evil. Besides, Google Apple and their change in suppliers. Samsung makes a LOT of the components for the Iphone and Apple has already started to shift some of that production to other companies, like screens, lcd displays.

JBLmobileG1 24 pts

@Jose H The bad thing about this is Samsung is giving into Apple while Google maybe keeping Apple from importing their products to the US. Samsung better not piss off Google either, although maybe they already have since Samsung is now going to release a windows phone and Google is expanding its Nexus line by using other companies besides just Samsung.