An analyst has stated that the Samsung Galaxy S6 and Samsung Galaxy S6 Edge will exceed sales expectations, with Apple being concerned that Samsung will withdraw access to the A9 chips it produces for its competitor, which would have been implemented in the next generation iPhone.
KGI Securities analyst Ming-Chi Kuo has claimed that the S6 is on track to perform better than anticipated, with sales projections for the Samsung’s flagship line of smartphones having dipped since the underwhelming release of the S5. While Apple isn’t exactly worried that S6 sales will compete with those of its iPhone 6, as the record-breaking launch of the 6 and 6 Plus have solidified Apple’s position atop the throne by a considerable mile, but that Samsung may now be forced to focus more upon the development of its own range, rather than continue to keep its commitments with other companies.
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Samsung is currently contracted to develop the bulk of the 14-nanometer A9 chips that will be utilized by the next-gen iPhone, though with the company increasing its shipment guidance of the S6 and S6 Edge by around 40%, Apple feels that the company may not keep to its contract as its resources will be too stretched.
As such, Ming-Chi Kuo has has reportedly hurriedly moved in to recruit another supplier, TMSC, to take over a large portion of Samsung’s contracted work, with the company being asked to develop a third of the required processors. The decision was allegedly made by Apple after the company got their hands on TMSC’s 16-nanometer FinFET Turbo, which the tech giant was impressed with.
The Samsung S6 and S6 Edge have been attracting positive reviews, though it’s surprising to learn that they’re shaping up to drastically improve the future of the Galaxy line following the woeful launch of the S5, given that the iPhone 6 has proven to be so immensely popular it’s a wonder how anyone else is even considering purchasing another smartphone at this moment in time.
While Apple will certainly find another company to fill Samsung’s shoes when it comes to the development of its processors, Samsung is now put in the unenviable position between turning their focus upon their own hardware range, or continuing to cash in what is undoubtedly a huge paycheck given to them by their greatest competitor.
[Via Apple Insider]
