Since we owe you $1 billion, we have to increase your chip cost in order to pay it – Samsung raises Apple’s chip prices 20%
// November 12th, 2012 // Mobile
And the battle of the two Titans continues. Korean newspaper Chosun Ilbo is reporting that Samsung has increased the price of Apple’s processor by nearly 20%. The newspaper noted that this is the first time Samsung has sought to increase the prices of the processors that go inside Apple’s mobile devices. This after Samsung was ordered to pay Apple $1 billion for infringing on Apple’s product design elements. The Korean newspaper went on to report that Apple, faced with no alternatives, has accepted Samsung’s demands in order to guarantee uninterrupted production at the levels required to meet demand for its tablets and smartphones.
The A-series of mobile processors (A5, A5X, A6, and A6X) are designed by Apple and manufactured by Samsung. Apple has already moved off of some Samsung parts including RAM and LCD panels. Samsung has given no reason for the price increase.
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