On Thursday, J.K.Shin, Head of the mobile business, Samsung, said that Samsung Electronics Co is considering the South Korean rival SK Hynix Inc. for purchasing mobile memory chips for its future products including the new flagship Galaxy S, which is scheduled to be launched this month. Presently Apple Inc. is one of the major clients of SK Hynix. The company supplies large amount of mobile dynamic random access memory or DRAM chip to the tech giant. Adding Samsung to the list of the customers after Apple can certainly give a boost to the sales of the company.
Prices of the DRAM chips for the mobile device have seen a steady increase from the beginning of the year. Attempt of the mobile handset makers to upgrade their line of products to the varieties with more memory storage is marked as the basic reason behind this tightening of supply. Samsung, usually depend on the internal production for the DRAM chips. The Galaxy range of Smartphone from the house has been fabricated with the in house produced DRAM chips so far, but at the present tightening condition of the market, Samsung is trying to have a second supply chain that can ensure the seamless flow of the chips for the production of the significant models of the Galaxy range of smartphones.
Samsung is going to launch its latest model of Smartphone the Galaxy S4 by the end of this month, and this new generation is predicted to outsell all its predecessors in the market. According to the market analysts, the company is expecting a monthly sale of 10 million for their latest model of the smartphone and shows clear chance to replace iPhone of Apple Inc. from the top spot. In this context, in the last quarter of the year iPhone has gained the top place replacing the Galaxy range.
It should be noted that the company SK Hynix has encountered a 2.8 per cent drop in its share on Thursday after Citrus Logic, another chip supplier of Apple, received a reduced revenue forecast, which is marked as an indicator of reduced demand of iPhone and iPad in the market.