$110 for every iPhone X sold, Samsung invoices more by making the iPhone X display than its Galaxy S8

iPhone X

Samsung is currently the largest provider of Apple iPhone components, especially the iPhone X, where in addition to several internal parts, manufactures the OLED display.

Being the largest provider … how much can you earn from every X iPhone sold? Is it possible that you generate more income than your own phone?

According to a study published by Counterpoint Technology for The Wall Street Journal, Samsung could bill about 110 dollars for each sold iPhone X.

That is, when you buy an iPhone X, Apple gives Samsung about $110 of revenue to pay the cost of components. A figure that despite repeating itself year after year, is still curious.

But the study goes further, and it is estimated that by the summer of 2019 Apple will sell about 130 million iPhone X. Meanwhile, Samsung could sell about 50 million Galaxy S8 with about $ 202 profits from each phone.

If we multiply the numbers, Samsung could generate about 4 billion dollars more to manufacture the iPhone X than to manufacture the Samsung Galaxy S8.

The relationship between Samsung and Apple has always had its ups and downs

But is that even though in 2011 Apple sued Samsung for patent infringement, have been working together since the creation of the iPod, when Samsung supplied the flash memory of the music player.

Little by little Apple has tried not to depend so much on a single company as Samsung but to diversify better to its suppliers. The OLED Panel of the iPhone X is manufactured entirely by Samsung for example, hence it is so expensive.

Apple is, however, helping other vendors like Sharp or Japan Display to boost production and not offer Samsung all the demand.

// WSJ





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