Apple has reportedly reduced its memory chip order with Samsung for the iPhone 5. Why Apple is doing this is unclear, it could be due to an expected downturn of the economy or it could be because the company is trying to reduce its dependence on its rival. One source quoted by a Reuters report claims Apple seeks to diversify its sources of memory but that Samsung remains on the list of suppliers for the new iPhone.
Samsung supplies a variety of components to Apple – including processors, LCDs, DRAM and NAND flash memory – but it is also a rival, selling Galaxy smartphones and tablet computers that compete with Apple's iPhone and iPad. And the two companies are entangled in a number of legal battles around the world alleging patent infringement and copying of the look and feel of mobile equipment.