- This particular suit appears to have little to do with Android since Apple’s complaint revolves around design similarities with Samsung’s hardware, packaging, and TouchWiz application drawer.
- In 2010, Samsung’s full year revenue from mobile was roughly $37 billion vs. $33.8 billion from the semiconductor division; however, profits from mobile were less than half at $3.9 billion compared to $9.1 billion from semiconductors.
- Apple is reportedly a $5.7 billion customer, which I assume mostly involves the semiconductor division.
- The delayed timing suggest that Apple probably first broached their issue with Samsung directly.
- Modifying product design seems like a reasonable concession for such a large customer and shouldn’t be too difficult given Samsung’s consumer electronic track record.
- Given everything above, why weren’t the two companies able to come to an agreement? I have three possible answers:
- Apple demanded too many design concessions.
- Samsung sees the ability to model it’s own products after Apple’s as strategic enough to fight for.
- Finally, given his previous fiery rhetoric, I wouldn’t be surprised if Tim Cook pulled the trigger on this one.
Samsung’s 4Q Earnings PDF
This post required some quick won-to-dollar conversions, a task I am not well versed in. Feel free to comment if my math is broken.