Samsung profits from iPhone sales

Edgar Cervantes / Android Authority
Samsung and Apple are often compared to the famous Hatfields and McCoys, known for their ongoing feud in the tech industry. Despite their public disputes and frequent legal battles, the two tech giants have actually been business partners for many years, with Samsung playing a vital role in manufacturing several of Apple’s flagship products and earning significant profits from this partnership.

Robert Triggs / Android Authority
While many may assume that Apple produces every aspect of their iPhones, the reality is quite different. Apple designs their products, but relies on other companies for manufacturing. Interestingly, Samsung, their biggest rival, is a key supplier. Samsung’s subsidiaries, particularly Samsung Electronics, provide essential iPhone components, including OLED panels that enhance the iPhone’s screen quality.

Samsung has been Apple’s primary OLED screen supplier since the iPhone 4 and continues to supply displays for the latest iPhone models. Samsung’s dominance in this market segment has allowed them to earn more revenue from supplying OLED panels to Apple than from their own flagship devices, such as the Galaxy S8.

Robert Triggs / Android Authority
In a surprising turn of events, despite their rivalry, Samsung and Apple have maintained a lucrative business partnership that has benefited both companies. Apple receives high-quality components for their devices, while Samsung earns substantial revenue. However, this mutually beneficial relationship may soon come to an end as reports suggest Apple plans to transition to MicroLED panels, potentially impacting Samsung’s revenue stream.

Mishaal Rahman / Android Authority
While Apple is Samsung’s most prominent partner, the Korean tech giant supplies components to several other major players in the smartphone market. Samsung’s influence extends to providing displays, processors, cameras, memory chips, and batteries to various smartphone manufacturers, making them a key player in the success of many tech companies. Regardless of the brand, Samsung components can be found in phones across the industry.

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