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Apple’s Tim Cook Reportedly Disapproved Of Samsung Lawsuit

February 11, 2013
Image Credit: Apple

redOrbit Staff & Wire Reports – Your Universe Online

As the long legal battle between the two tech giants progresses, reports have surfaced that Tim Cook, the man who succeeded Steve Jobs as Apple´s chief executive, opposed the decision to sue Samsung in April 2011.

According to Reuters reporters Poornima Gupta, Miyoung Kim and Dan Levine, individuals “with knowledge of the matter” said that the 52-year-old Cook believed that suing the South Korean firm would be a mistake, “largely because of that company’s critical role as a supplier of components for the iPhone and the iPad.”

The Cupertino, California-based company “was Samsung´s biggest customer in 2011,” and purchased a reported $8 billion worth of components, including screens and chips, from their now rivals, reports CNET´s Steven Musil.

The two companies initially began working together in 2005, when they agreed to a deal involving flash memory, and wound up developing “a close relationship that included the grandson of Samsung’s founder” visiting the Jobs residence in Palo Alto, California, Musil added.

Both companies gained a working knowledge of each other´s operations during that time, he said, but the relationship went south after the launch of the Samsung Galaxy S in 2010. Both Cook, who was Apple´s Chief Operating Officer (COO) at the time, and Jobs complained to Samsung executives about the look and feel of the device, anticipating that the design would be changed as a result of their concerns.

“Suspecting that Samsung was relying on its position as a critical components supplier to protect it from legal retribution, Jobs’ patience ran out a year later when Samsung launched the Galaxy Tab,” Musil wrote. “Apple filed a patent infringement lawsuit against Samsung in April 2011 in an effort to ban a number of Samsung’s devices from sale in the U.S., winning a lopsided $1 billion judgment.”

Apple has been unable to garner a sales ban on the Samsung devices in court, and as a result of the legal wrangling between the two tech giants, they are working to reduce their dependence on their South Korean rivals in the realm of manufacturing, explained Katie Marsal of Apple Insider.

However, despite appearances otherwise, Reuters contends that the seemingly contentious lawsuits have been “less poisonous” to the relationship between Apple and Samsung “than some of the rhetoric suggests.”

“Still, the hostilities appear to have put some dents in the partnership,” they added. “Apple is likely to switch to TSMC for the building of application processors, according to analysts at Goldman Sachs, Sanford Bernstein and other firms. But analysts at Korea Investment & Securities and HMC Securities point out that Apple will not be able to eliminate Samsung as a flash supplier because it remains the dominant producer of the crucial chips.”


Source: redOrbit Staff & Wire Reports - Your Universe Online



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