Analysis done by Counterpoint Technology found that Apple devices are likely to earn Samsung about $4 billion more than it earns making parts for the Galaxy S8 over the next 20 months.
Counterpoint expects Apple will sell 130 million iPhone X units, earning Samsung $110 on each through the summer of 2019, while Galaxy S8’s global sales are expected to be 50 million, earning Samsung $202 each from components such as displays and chips in its first 20 months of sales, according to estimates based on a projected bill of materials. The Counterpoint analysis includes parts sales from Samsung Electronics plus two Samsung affiliates that make batteries and capacitors.
The WSJ notes that this friend and foe relationship with Samsung is unique and has lasted throughout a bitter legal battle over the design of the iPhone. Samsung employees reportedly refer to Apple with codenames, one of the most popular being "LO", short for "Lovely Opponent". At meetings Samsung executives tell attendees who pull out iPhones, "It’s OK. They’re our best client."
While Apple has looked to diversify beyond Samsung for components, the company is often at the forefront of technology, a place Apple needs to be as well.
More details in the full report linked below...