Reports suggest Cupertino have their eyes on an LCD plant, with the acquisition helping them cut ties from supplier and rival Samsung.
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Picture: Mock up iPad 3 Retina display. |
The plant, owned by Sharp and located in western Japan would be useful to Apple for two major reasons: to help boost short supply of in-demand iPad 2 and iPhone 4 (as well as help with fifth generation device and iPad 3).
And importantly, it would eliminate the need for Samsung, who are among its biggest suppliers of displays and components for smartphones, tablets and monitors.
Considering Cupertino were recently rumored to be set to relaunch its iOS TV (said to be made by Samsung), what better time to gain direct control of LCD production? Sharp would also profit nicely from the move.
Apple recently was forced to up its supply of displays from Samsung after its other supplier, LG, experienced serious quality issues which stalled production.
And the iPhone maker certainly does not want to be doing its Korean rivals any favours – the two market giants are currently embroiled in a bitter patents dispute, with Apple accusing the Galaxy maker of copying the “look and feel” of its iPhone and iPad and even sought a ban sale of the new Galaxy 10.1 Tab in Europe, US and here in Oz..
Samsung have countersued but resolution looks a long way off.
Read Android Device Makers Set To Go After Apple As Samsung Tablet Ban Lifted HERE
So, what better way to hit your rivals than at the bottom line? According to Reuters, the $1 billion acquisition of Sharp plant in Kameyama was cited by MF Global FXA Securities analyst, David Rubenstein, in a sales note on Wednesday.
“It is highly possible that Apple will make an investment in Sharp’s Kameyama plant to the tune of around $1 billion in order to secure a stable supply of screens for iPhones and iPads,” the analyst said.
Read Apple TV By Foe Samsung? HERE