Apple Sword points to global leader in Samsung's IT market

So far, Samsung has dominated the global IT spare parts market. In the DRAM market for mobile phones and computer temporary storage devices, Samsung’s market share exceeds 41%, and the panel market also accounts for more than 30% of the market share. Samsung takes a variety of strategies to firmly control the market. When the competition is fierce, enterprises that do not have cost competitiveness will be eliminated after increasing their output and reducing market prices. This strategy is backed by strong technical strength. On the contrary, Apple has always played the role of buyer in the spare parts market.

2005-2010 is the "honeymoon period" of Apple and Samsung Electronics. Former Apple founder and CEO Steve Jobs in 2004 to rebuild Apple's reputation, launched the MP3 player iPod. This bridged the cooperation between the two companies. To successfully launch the iPod, Apple needs a light, portable, and fast data storage device. Samsung Electronics is eager to open up the market for flash memory chips developed for this purpose. In 2005, the two sides signed a large-scale flash chip supply contract, and both companies have also ushered in a brilliant period. The Apple iPod was sold worldwide, paving the way for Apple to develop the iPhone. Samsung Electronics Co., Ltd. has benefited from a significant increase in sales of flash memory chips and achieved the highest performance ever. But after Samsung Electronics introduced the Galaxy S in 2010 and became a competitor in the smartphone market, Apple began to contain Samsung.

According to foreign reports, Apple frequently requires parts suppliers to significantly reduce the supply price or arbitrarily adjust the purchase time and purchase volume. US IT media CNET reports: "After this year, Cook became the CEO of the company, in order to improve efficiency and reduce costs, it puts forward more stringent requirements for product suppliers." In other words, Apple must fully control the parts suppliers. . It is no longer the same as in the past, satisfied with the iPhone, iPad, etc. occupy the finished product market. Recently, Apple has reduced its dependence on Samsung in the memory chip market and increased its orders for Japan Elpida. In the LCD field, Apple foundry company Foxconn acquired Sharp Japan to fight against Samsung.

In addition, after the recent acquisition of American Elpida by US storage chip company Micron Technology, US IT media reported unanimously: “Apple will substantially increase its orders for Micron and Elpida.” Analysts say that Apple has reduced its dependence on Samsung on the one hand. Degrees, on the other hand, began to clear the way for themselves to determine the price of chip supply. Apple plans to take away the price decision power from the spare parts company and establish a production system that is unilaterally directed by Apple like Foxconn in the entire market. At present, Foxconn, which manufactures Apple products, has an operating profit of only about 2%.