Report: Samsung Now Charging Apple 20 Percent Extra For iPhone and iPad Components

Apple and Samsung might not have a strong relationship, especially when you consider that $1 billion verdict, but they are still business partners. Apple relies heavily on Samsung to manufacture processors like the custom A5 and A6 chips for its iPhone and iPad devices. And according to a report out of Korea from Chosun Biz, Samsung has taken advantage of this relationship with Apple by charging an additional 20 percent for these iPhone and iPad components.

Apple is said to have relatively few alternatives, so it has allegedly complied with Samsung’s price increase. It seems like a rather unfair business practise that Samsung is employing here, but perhaps Samsung is trying to recuperate costs associated with revamping its manufacturing plant in Austin, Texas, the same facility where Apple’s custom mobile processors are produced. Do you think it’s fair for Samsung to force these price hikes on Apple?

[Chosun Biz via The Verge]

Post a response / What do you think?