Just over a month from today (Nov. 3), the iPhone X will drop and Apple will reap enormous profits from the masses who go ape shit every time the company pumps out a new device.
Good for them.
However, as it turns out, the success of the iPhone X would also be very good for Apple's main competitor, Samsung, who would also stands to earn a bundle of dough if/when the the gadget becomes a hit. The reason for that is because Samsung is the sole supplier for the X's new OLED displays. Furthermore, Samsung is also the provider for the memory chips that the phone will use. According to analysis in The Wall Street Journal, Samsung will get roughly $110 for every iPhone X purchase. The phone is estimated to rack up sales of 130 million by summer 2019.
If sales do end up reaching that staggering total, Samsung would actually stand to make roughly $4 billion more producing parts for Apple than they would for producing parts for their own Galaxy S8.
According to Mashable, Samsung's projected windfall is mainly due to the prices they negotiated for the OLED displays. Citing a Business Times report, they further state that Apple is "exploring the OLED screens from LG Display," while also stating there's a rumor Apple will simply build their own so they no longer need to rely upon their rival.
That's in the future though. As for now, it seems like a kick ass time to be a Samsung higher-up since they stand to generate dough whether people buy a phone from them or their main adversary.
