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Apple will buy $7.8 billion worth of components from Samsung, the Korea Economic Daily reports (via WSJ).The components are things like liquid crystal displays, mobile application processors and NAND flash memory chips that go into iPhones and iPads.
But wait, isn’t Samsung also a big Apple competitor, making phones and tablets? Yes. That’s how the electronics industry works.
For example, the actual DVD players inside most DVD players sold today are made by the same company, Matsushita, which also sells its own DVD players under the name Panasonic. And Samsung is of course a huge conglomerate that makes everything from phones to cars to huge supertankers.