iPhone 8 – Colossal Investments Made by Samsung

iPhone 8 forces the Samsung company to make colossal investments in factories to produce NAND memories in order to be able to respect its commitments to Apple.

iPhone 8 is the future smartphone model that the Apple company intends to launch on the global markets, it is currently in full development process in the factories of Apple's partners. iPhone 8 will have a variety of components manufactured by many manufacturers, and among them are those from Samsung, the Koreans supplying several types of components to Apple.

iPhone 8 has already forced the Samsung company to announce investments of several billion dollars to build new OLED factories next year in order to be able to respect the commitments made to Apple. We are talking here about more than 10 billion dollars that Samsung allocates in the construction of these factories because the iPhone 8 and future models will have the majority of the production of these components allocated.

iPhone 8 forces Samsung to make other investments, of 7 billion dollars as it seems, but this time for NAND memories dedicated to mobile phones. Apple has been buying NAND flash memories from Samsung for several years, but for iPhone 8 and future iPhone models, the Korean company is obliged to invest over 7 billion dollars in the next 3 years in a new factory in China.

iPhone 8 – colossal investments made by Samsung

iphone 8 Samsung colossal investments

iPhone 8 will have the highest capacity NAND memories provided by Samsung, and here we are talking about the 256 GB and 512 GB modules. Something similar happens with the iPhone 7 and iPhone 7 Plus, here the 128 GB and 256 GB modules are partially provided by the Samsung company, but with the iPhone 8 Apple would like to double the maximum storage space that it will offer to its customers from all over the world.

iPhone 8 needs of latest generation NAND memories that also have performance commensurate with the enormous storage space, and Samsung is one of the few companies that can offer them. In 2016, Samsung sold 40% of the total NAND memories purchased for mobile terminals, and with the launch of the iPhone 8 and future models, things will change, and production must increase to please everyone.

iPhone 8 is an extremely awaited smartphone by many people, and this means that the estimated sales are in line with the demand that Apple will have. However, without dedicated components, those from Apple will not be able to create enough iPhone 8 terminals to deliver them to customers, and this means that Samsung and the other manufacturers will have to substantially increase their production capacity to respect the contracts with Apple.